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Case Notes
Failure to Read Lease is Not Fatal to Claim
The Court of Appeal of California, Sixth Appellate District, has upheld a jury verdict in favor of a tenant who was fraudulently induced to enter into a lease by the leasing agent's false assurances that the shopping center landlord did not have and did not anticipate having restaurant tenants that would compete with the tenant's restaurant. Orozco v. WPV San Jose, LLC, 2019 Cal. App. LEXIS 553 (7/17/2019).
Tenant Paul Orozco leased a restaurant space for his Pauly's Famous Franks N Fries in a shopping center in San Jose named The Plant. Before signing his 10-year lease, Orozco asked the leasing manager on several occasions whether restaurants with similar offerings were being considered as tenants in The Plant. The leasing manager said that no similar restaurants were being considered, even though she was at that time in negotiations with another restaurant, Al's Beef, which was a national franchise selling hot beef sandwiches, hot dogs and french fries. In fact, before Orozco signed his lease, a lease with the Al's Beef franchise had already been fully executed. The leasing manager said nothing about this development to Orozco, who signed the lease without fully reading it. Buried in the lease were multiple provisions stating that the landlord had made no promises to Orozco and his business, Solid Restaurant Ventures, as to products offered by current or future tenants of The Plant.
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The Article 8 Opt In
The Article 8 opt-in election adds an additional layer of complexity to the already labyrinthine rules governing perfection of security interests under the UCC. A lender that is unaware of the nuances created by the opt in (may find its security interest vulnerable to being primed by another party that has taken steps to perfect in a superior manner under the circumstances.
Major Differences In UK, U.S. Copyright Laws
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Beach Boys Songs Written Decades Ago Triggered Current Quarrel With Lawyers
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Strategy vs. Tactics: Two Sides of a Difficult Coin
With each successive large-scale cyber attack, it is slowly becoming clear that ransomware attacks are targeting the critical infrastructure of the most powerful country on the planet. Understanding the strategy, and tactics of our opponents, as well as the strategy and the tactics we implement as a response are vital to victory.
Transfer Tax Implications on Real Property Leases
The real property transfer tax does not apply to all leases, and understanding the tax rules of the applicable jurisdiction can allow parties to plan ahead to avoid unnecessary tax liability.