When you represent a “brick and mortar” business, you will sooner or later be called upon to review and negotiate the client’s lease of commercial space in a shopping center or office building. While your client generally doesn’t have a lot of negotiating leverage, there are many things you can negotiate that will prevent your client from being treated unfairly. In this fast-paced, entertaining presentation, a leading business lawyer who has represented over 15,000 clients in his 45-year career will walk through a typical commercial lease clause by clause and provide guidance on drafting and negotiating key provisions.
Topics to be covered include:
- The different types of commercial leases
- Preparing and negotiating a lease proposal or “letter of intent” for your client
- How to negotiate commencement dates, landlord’s and tenant’s buildouts, rent-free use periods, and tenant improvement allowances (TIAs)
- The most commonly negotiated provisions in shopping center, office, and “office tower” leases
- Noncompete provisions in shopping center leases
- Early termination clauses
- Ways to limit your client’s personal guaranty obligations, including “good guy/good person” guaranty language
- “Sneaky” provisions landlords sometimes include in their lease forms that you should always resist whenever possible
- Introductory Overview
- Brief introduction of the presenter
- The different types of commercial leases
- Understanding the landlord’s point of view
- Preliminary Negotiations and Client Preparation
- Preparing a “lease proposal” or “letter of intent” for your client
- When the client has a franchised business
- Negotiating the Commercial Lease, Clause by Clause
- Describing the premises and the landlord’s and tenant’s buildout
- Commencement dates, rent-free use periods, and tenant improvement allowances (TIAs)
- Base rent, additional rent, and percentage rent calculations
- Your client’s use of the premises
- Noncompete provisions in shopping center leases
- Balancing the landlord’s and tenant’s obligations to repair or replace HVAC and other equipment servicing the premises
- Your client’s rights if the premises are destroyed or condemned
- Insurance, indemnification, and environmental requirements
- Your client’s right to assign and sublease the premises
- Protecting your client’s quiet enjoyment of the premises from third parties, especially mortgagees
- How to get your client out of the lease before its scheduled expiration
- “Sneaky” provisions landlords sometimes include in their lease forms that you should resist whenever possible
- Other Lease Documents
- Personal guaranties and how to limit them
- The landlord’s “Rules and Regulations”
- Documents your client’s franchisor will require from the landlord
- Questions & Answers (as time permits)
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Status: Approved
Credits: 1.00 General
Status: Approved
Credits: 1.00 General
Difficulty: All Levels
Status: Approved
Credits: 1.00 General
Status: Approved
Credits: 1.00 General
This presentation is approved for one hour of General CLE credit in California, South Carolina (all levels), and North Carolina. This course has been approved for Minimum Continuing Legal Education credit by the State Bar of Texas Committee on MCLE in the amount of 1.00 credit hours.
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Note that CLE credit, including partial credit, cannot be earned outside of the relevant accreditation period. To earn credit for a course, a lawyer must watch the entire course within the relevant accreditation period. Lawyers who have viewed a presentation multiple times may not be able to claim credit in their jurisdiction more than once. Justia reserves the right, at its discretion, to grant an attendee partial or no credit, in accordance with viewing duration and other methods of verifying course completion.
At this time, Justia only offers CLE courses officially accredited in certain states. Lawyers may generate a generic attendance certificate to self-submit credit in their own jurisdiction, but Justia does not guarantee that lawyers will receive their desired CLE credit through the self-submission or reciprocity process.

Law Office of Clifford R. Ennico
CLIFFORD R. ENNICO (www.cliffennico.com) is widely considered to be one of America's leading experts on the legal and tax problems facing entrepreneurs and privately-owned businesses. Read More ›