In Arizona, commercial landlords have much greater latitude in their relationships with their tenants than residential landlords. The Arizona legislature has enacted a broad canon of law to protect residential tenant rights, but commercial tenants are expected to generally possess a greater degree of business sophistication, which negates the need to impose statutory restrictions on the relationship. Commercial lease terms, therefore, are typically upheld by our courts.
Because of this, there are certain things in a commercial lease a prospective tenant will want to look out for. As an example, if part of the property becomes unusable due to flooding, if your lease says you cannot terminate under that circumstance, you cannot terminate. Courts will not be persuaded by the argument that a commercial tenant did not read or understand the lease he or she signed.
Also, unlike in a residential lease, in certain circumstances, a commercial landlord can simply lock a tenant out after five days if they do not pay rent or otherwise violate the lease. The landlord may not have to go through a formal demand or reentry before commencing an action for possession of the premises. And they may have a lien on the tenant’s property towards any unpaid rent.
We recommend having an attorney review your commercial lease before you sign it, where possible. If a lease is already in place and a dispute has arisen, an attorney can still review the lease to help you recognize any latent ambiguities or enforceable provisions that might be interpreted in your favor.
The Brei Law Firm has successfully represented both landlords and tenants in commercial lease disputes. Our attorneys’ real-world experience has shown us the best ways to negotiate our clients’ interests. Our Tucson Law Firm is available at 520-297-4411.
© January 2023. Please note: this article is not intended to, nor does it, constitute legal advice, and is for informational purposes only. To obtain legal advice, please consult a qualified attorney.