Commercial Lease Considerations in the Wake of Hurricane Laura
Following disasters such as Hurricane Laura, business owners have a variety of concerns when beginning the recovery process. Chief among those concerns: what to do when your place of business has been damaged or destroyed? If you lease your place of business, or if you lease out land or buildings to other people for their businesses, this concern becomes especially important when you consider the different parties with a potential interest in the recovery—the lessor (landlord), the lessor’s insurer, the lessor’s lender, the lessee (tenant), the lessee’s insurer, and the lessee’s lender. Being familiar with your lease agreement is the key to understanding the extent of your rights and responsibilities, especially as they pertain to repair obligations, obligations regarding the payment or reimbursement of insurance deductibles, insurance recovery, and rights to termination and reduction (abatement) of rent. As an initial matter, the first question you should ask yourself is: What kind of lease agreement do I have?
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