Law.com Subscribers SAVE 30%

Call 855-808-4530 or email [email protected] to receive your discount on a new subscription.

Arizona Appeals Court Joins Other States In Holding COVID-19 Shutdowns Not an Excuse for Missed Rent Payments

By Riley Brennan
May 01, 2023

Joining several other state and federal decisions from around the country, the Arizona Court of Appeals ruled that the COVID-19 pandemic and subsequent state restrictions and shutdown orders were not excuses for tenant Fitness International to miss their rent payments to its landlord Vereit Real Estate under its commercial lease.

In an April 11 opinion, Judge Samuel A. Thumma affirmed a lower court's decision granting the landlords' motion for summary judgment, after determining the applicable force majeure provisions and common law doctrines the tenants relied on didn't excuse payment obligations.

The landlords filed an action for payment after Fitness International failed to make lease payments for the months of April, May, June and August of 2020, totaling more than $900,000. In response, Fitness International "claimed many affirmative defenses, including that the force majeure provision in the Marana lease excused its payment obligations for that property, as well as frustration of purpose, impracticability and impossibility."

This premium content is locked for Entertainment Law & Finance subscribers only

  • Stay current on the latest information, rulings, regulations, and trends
  • Includes practical, must-have information on copyrights, royalties, AI, and more
  • Tap into expert guidance from top entertainment lawyers and experts

For enterprise-wide or corporate acess, please contact Customer Service at [email protected] or 877-256-2473

Read These Next
Major Differences In UK, U.S. Copyright Laws Image

This article highlights how copyright law in the United Kingdom differs from U.S. copyright law, and points out differences that may be crucial to entertainment and media businesses familiar with U.S law that are interested in operating in the United Kingdom or under UK law. The article also briefly addresses contrasts in UK and U.S. trademark law.

The Article 8 Opt In Image

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.

Strategy vs. Tactics: Two Sides of a Difficult Coin Image

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.

Legal Possession: What Does It Mean? Image

Possession of real property is a matter of physical fact. Having the right or legal entitlement to possession is not "possession," possession is "the fact of having or holding property in one's power." That power means having physical dominion and control over the property.

Removing Restrictive Covenants In New York Image

In Rockwell v. Despart, the New York Supreme Court, Third Department, recently revisited a recurring question: When may a landowner seek judicial removal of a covenant restricting use of her land?