Landlord-Tenant Issues

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Landlord-Tenant

Landlord/Tenant issues, in both commercial and residential lease settings, require skilled legal drafting, as parties are binding themselves for substantial periods of time for their business, or residential location. Failure to consult counsel prior to entering into lease agreements can lead to issues easily overlooked by the layperson which can have significant harmful financial and personal implications. Many of these issues, such as responsibility for specific aspects of maintenance, payment of additional tax/insurance costs, negotiation of future renewal periods, subleasing, and covenants of quiet use and enjoyment, if not properly addressed, can create a hardship to a party.

In a commercial lease, what are CAM charges, and are they a concern?

CAM, or Common Area Maintenance charges are often encountered in commercial lease situations and can constitute a significant expense for a tenant. These costs are the amount a landlord charges its tenants for maintenance of common spaces/areas shared by all of the tenants of the building/property. Tenants should be sure they are comfortable with the landlord’s CAM charges as well as the rights they have to demand proof of the amounts being charged for the same and the proper percentages being charged in relation to the whole of the space in the commercial building and property.

Should I be concerned if my lease does not contain a right to an option to renew?

The failure to have the option to renew is a concern for both parties in that it removes the prospect of long-term certainty in the status quo of the landlord-tenant relationship. When included, it permits the parties to know their options as far as time and cost and alleviates the uncertainty of having to develop new relationships with those whom they are unfamiliar with.

Who is responsible for completing the buildout of the leased space and for obtaining the Certificate of Occupancy for operation within the space?

When negotiating a commercial lease, a comprehensive lease will often specify the details regarding any buildout/renovation of the leased space, as well as who will be performing the same.  Issues such as approving contractors, making sure that they are licensed and insured, and that they perform their work in a good workmanlike manner are important to both parties and the specifics are often overlooked.  Moreover, the party responsible for ensuring that the municipality, or other regulatory agency with jurisdiction issues applicable approvals, such as a Certificate of Occupancy,  is additionally of paramount importance.

What if my residential Tenant is not paying rent?

In the residential setting, the requirements are significantly more specific and limiting on the options the Landlord can exercise. In addition, the Landlord must ensure that all of the statutory requirements have been complied with throughout the relationship with the Tenant in order to ultimately be successful in an eviction proceeding which must be filed with the Court.

What if my residential Tenant is not paying rent?

In the residential setting, the requirements are significantly more specific and limiting on the options the Landlord can exercise. In addition, the Landlord must ensure that all of the statutory requirements have been complied with throughout the relationship with the Tenant in order to ultimately be successful in an eviction proceeding which must be filed with the Court.

Under what circumstances can a landlord evict a tenant?

Following is a general list of some of the reasons a landlord may file a complaint in the Landlord/Tenant Section:

  • Failure to pay rent.
  • Continued disorderly conduct.
  • Willful destruction or damage to property.
  • Habitual lateness in paying rent.
  • Violation of rules and regulations, after written notice to comply, as outlined in a lease or other document.
  • Tenant’s conviction for a drug offense.

Before filing some complaints, a landlord must give a tenant written notice to stop particular conduct. Only when a tenant continues that conduct after notice to stop can a landlord try to have the tenant evicted. Also, complaints for other than non-payment of rent generally require notice terminating the tenancy.

A landlord or a tenant that is a corporation must be represented by a New Jersey attorney in all matters filed in the Landlord/Tenant Section. No landlord or tenant may send a representative other than a lawyer to court in such circumstances.