Issues can arise in the context of additional rent reconciliations that occur pursuant to the provisions of a commercial lease. We examine herein specific concerns from both landlord and tenant perspectives relating to over- and under-payments of rent, improper charges, supporting documentation and auditing procedures, as well as potential bars to claiming recoveries.
Part One of a Two-Part Article
What Interest Rate Controls?
In today's low-interest rate environment, the difference between a contractual interest rate and the federal judgment rate can be quite significant. It is not surprising, therefore, that this issue has become hotly litigated in cases involving solvent Chapter 11 debtors.
On July 18, 2016, Mexico published a comprehensive body of new anti-corruption legislation implementing its 2015 Constitutional reform on this area of the law. The new legislation has received significant attention, and for good reason. However, it has long been plagued with a reputation for corruption, both at the federal and local levels.
Although the concept has been very successful in the retail industry, a collection of tenants serving food and beverages in one location presents several issues and problems for both landlords and tenants. Those issues suggest certain aspects of food-court tenancy that should be discussed and addressed during lease negotiations, so that both landlords and tenants end up receiving what they expect to receive from the food court experience.
For some time now, the brick and mortar side of the retail industry has been in financial distress. In 2015 and 2016 alone, brand-name companies such as Sports Authority, RadioShack, Aéropostale, American Apparel, Eastern Mountain Sports and City Sports sought bankruptcy protection. A common question in these cases is how to treat holders of unredeemed gift cards. Are they near the back of the line with other general unsecured creditors, or are they entitled to “priority” payment status under the Bankruptcy Code?
In In re Reichhold Holdings US, bankruptcy judge Mary F. Walrath upheld the validity of a vendor's administrative claim for its reclamation rights under Section 546(c) of the Bankruptcy Code as against a post-petition DIP lender. In doing so, Judge Walrath declined to follow cases from the Bankruptcy Court of the Southern District of New York that held otherwise.
In what began as a year with a forecast of modest growth, The Equipment Leasing & Finance Foundation (ELFA) has just released its Q4 update to the 2016 Equipment Leasing & Finance U.S. Economic Outlook, reducing the year's growth expectations to -0.5%, marking a steady decline in growth forecast for the year.
Landlord's Self-Proclamation of Tenant's Breach Costs It Big
The ABA has long published its Model Rules of Professional Conduct and modifies them from time-to-time to stay current with legal and technological developments and advances. While these Model Rules are not officially binding on attorneys, they have been adopted in large part by nearly every stateand provide a guideline for attorneys across the country regarding standards of professional responsibility and ethical conduct.
Contracts between a corporation and a corporate director can give rise to certain difficulties in managing expectations of the director's obligations and responsibilities. Such contracts may create obligations that extend beyond those fiduciary duties inherent to the director position. This extension of the director's role may increase the risk of a conflict between a director's contractual obligations and his fiduciary duties.
