A lease is a lease is a lease – or so you may think. Yes, real property leases grant an estate in land to a tenant for a period of time. And yes, the tenant pays for that right of possession. But the action in a lease isn’t in the conveyance provisions; it’s in the contract provisions. Multiply out the rent and other annual monetary obligations by the length of the lease term (in years), and you’ll see that it might be (and often is) a big dollar contract. Even more important, unlike the vast majority of contracts whose obligations are satisfied in days or weeks, a lease contract goes unfulfilled for 50, 75, “99,” and even 500 years. That takes it beyond the life of the parties involved in its creation, and the future brings surprises. Neither Nostradamus nor Jules Verne got everything right.
All family law practitioners know that there are certain actions that their clients cannot take without court permission, and if done, their clients will be sanctioned by the court. One problem is that the very act of explaining these ground rules to a client often creates an adversarial relationship between the client and his or her attorney. Given that this discussion with one’s client needs to take place at the first meeting, this isn’t a good way to get started in what needs to be a relationship of trust. Clients want their own attorney to represent them with full vigor, but an attorney also needs to be an agent of reality as well. Many clients perceive that when their lawyer tells them “like it is,” their lawyer is not fully “on their side.” At least with respect to communicating the “ground rules,” there may be a solution.
So what’s the difference between rentable square footage and usable square footage? Aren’t they the same? Some tenants may think so and are surprised to learn that the usable square footage is actually smaller because rentable square footage includes a tenant’s pro rata portion of the common areas (such as lounges, bathrooms, etc.) and can also include its pro rata portion of building service areas (such as mechanical rooms, janitorial closets, elevators, and stairwells) within the building.
To complete a “like-kind exchange” under Section 1031 of the Internal Revenue Code (“Code”) and thereby defer payment of tax on what would have been your gain, many technical rules must be followed. One of these is rules is that you must deposit the sales proceeds with a “qualified intermediary” pursuant to a qualified escrow agreement. If you do not, you will ruin your exchange.
What happens when the victim’s home is no longer a safe place? What happens when the victim is the lessee of an apartment? Should a victim of domestic abuse be allowed to get out of a lease early without penalty? Who should bear the financial burden, the victim or the landlord? These are public policy choices and are increasingly being addressed by the state legislatures.
Exclusive Use Rights in Commercial Real Property Leases can be the source of a battle between a landlord and its tenant. This Article presents some concepts that should guide each toward reaching a solution that addresses the legitimate needs and cocerns of each party.
Attorneys seem to have a hard time drafting insurance requirements into leases, mortgages, and contracts of sale. Here is a primer that takes a step by step approach to understanding commercial general liability (CGL) insurance coverage. It discusses CGL insurance coverage in the framework of real property transaction, and is accompanied by suggested lease and mortgage insurance provisions.
Section 1031 “like-kind” exchanges are a valuable method of deferring the payment of capital gains taxes on the sale of qualified property. To avoid possible boot, a taxpayer intending to purchase personal property together with real property should purchase those items in a separate transaction. The taxpayer can also allocate the purchase price between the personal property and the real property and pay for the personal property with other funds and not exchange proceeds.
Getting the Deal Done take personal negotiating skills. The same mistakes are made over and over and over again, by first year associates, more experienced associates, and even by partners – mistakes that accomplish nothing other than creating a more adversarial relationship and delaying the deal from completion. Here are eight common mistakes and how to avoid them.
If the New Jersey Commissioner of Labor and Workforce Development determines that an employer failed to properly maintain and report records concerning wages, benefits or taxes of one or more employees, and, in connection with that failure, has failed to pay such wages, benefits or taxes or other contributions or assessments as required by those laws, then the Commissioner can audit the employer and any successor firm within 12 months after its determination.