Given the current economy, many businesses are walking away from their commercial leases. Thankfully, when a tenant breaks a lease without good (legal) reason, the landlord can file a lawsuit to recover damages.
In a recent case in Alabama, Colonial Realty LP has sued McCormick & Schmick’s Restaurant Corp. for violating its lease by closing earlier this month. McCormick & Schmick’s still had about six years and eight months on its 15-year lease when it closed its Brookwood restaurant, according to the lawsuit. The lawsuit also contends that the restaurant chain had previously violated the lease by closing Sundays and Mondays beginning in mid 2011.
The outcome of the lawsuit is likely to have significant implications on the businesses. According to the Birmingham Business Journal, Colonial is seeking the remaining rent due from McCormick & Schmick’s, which could amount to $2.3 million.
How We Can Help
If a tenant breaks your commercial lease, it is advisable to consult with an Alabama business attorney a soon as possible. We can advise you of the best course of action, including lawsuit proceedings.
Rutledge & Yaghmai is a full service litigation firm that offers more than fifty-seven years of diverse legal experience. The attorneys of Rutledge & Yaghmai leverage that experience to assist large and small businesses throughout Alabama in achieving their business goals while minimizing their risks.
In addition to offering transactional business services such as Alabama business formation and planning, Rutledge & Yaghmai prides itself on the diversity of Alabama business litigation cases it has handled successfully.
To learn more about the wide range of transactional and business litigation services we offer Alabama businesses, please contact the attorneys of Rutledge & Yaghmai today.
