Features
Deborah Howitt Easton
When landlords and tenants negotiate a lease, particularly a retail lease, they typically have in mind a long-term relationship. The parties enter the relationship optimistically with the hope that the tenant's business will be successful at the particular location, that the entire project will be a success and that the tenant's operations will enhance the value of the property. Given the long-term nature of most retail leases, it is vital for tenants to think ahead, while at the negotiating stage, and anticipate how their business or the shopping center in which they are located may change (for better or worse) in the future. Tenants should negotiate maximum flexibility in their leases to ensure that their leases do not contain unacceptable obstacles to the tenant's ability to exit from the lease in the event circumstances change and the tenant no longer wants to remain in the lease. This need for flexibility will be tempered by the landlord's desire to retain the original tenant with which it negotiated and is comfortable. This article discusses two types of tenant exit strategies. First, those that are beneficial to the tenant ' while the tenant remains the tenant under the lease ' such as the alteration or elimination of an operating covenant. Second, those that allow the tenant to transfer its interest in the lease whether by merger, stock sale, assignment, sublease or otherwise.
Scott Weinberg
Commercial real estate professionals often draft ground leases where the Ground Lessee/ Sublessor intends to sublease the parcel to a single-use tenant entity (the "Tenant"). (<i>See</i> Weinberg, Scott "Issues to Address When Drafting a Ground Lease for a Single-Use Tenant," <i>Commercial Leasing Law & Strategy</i>, June 2004.)
Randy H. Luffman
In an effort to minimize the release of toxic gasses from cables in the event of fire, the 2002 version of the National Electric Code ("NEC"), promulgated by the National Fire Protection Association, sets forth new guidelines requiring that abandoned cables must be removed from buildings unless they are located in metal raceways or tagged "For Future Use." While the NEC is not, in itself, binding law, most jurisdictions in the United States adopt the NEC by reference in their state or local building and fire codes. Thus, noncompliance with the recent NEC guidelines will likely mean that a building is in violation of a building or fire code. If so, the building owner may also be in breach of agreements with tenants and lenders and may be jeopardizing its fire insurance coverage. Even in jurisdictions where the 2002 NEC has not been adopted, it may be argued that the guidelines represent the standard of reasonable care and could result in tort liability for the landlord if toxic gasses from abandoned cables are emitted in a fire. With these potential liabilities in mind, this article discusses: 1) how to address the abandoned wires and cables currently located within the risers, ceilings and other areas of properties, and 2) additional considerations in the placement and removal of telecommunications cables going forward.
ALM Staff
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Law Journal Newsletters
The Supreme Court of New York, Appellate Division, First Department, held that a television talk show didn't owe a duty to a minor who claimed that she was sexually assaulted when she had traveled to New York to appear on a segment of the program.
Features
Stan Soocher
Recent developments in entertainment law.
Features
Steve Gordon
Part Two of Two Part One covered statutory licenses for sound recordings and performing rights licensing for musical compositions for webcasting purposes.…
Features
ALM Staff
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Law Journal Newsletters
Recent cases in entertainment law.
ALM Staff
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Law Journal Newsletters
Recently filed cases in entertainment law, straight from the steps of the Los Angeles Superior Court.
Morgan Wells
Digital distribution contracts are still in their infancy as music industry practices in this area continue to solidify. As digital channels of distribution continue to penetrate the music world, it is increasingly crucial that entertainment professionals understand the nuances of licensing content for use online. This article explores current practices in this area.
Features
Elizabeth Anne 'Betiayn' Tursi
A note on this issue and some exciting upcoming programs.
