How to Prevent a Tenant from Removing Valuable Equipment Before They Flee

Shutts & Bowen LLP
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A landlord may prevent a tenant from taking equipment from the premises by filing a distress writ.

Before a landlord files suit for eviction, it should first consider whether there is any equipment on the premises that could help attract a new tenant. Frequently, landlords provide money in the lease for tenants to improve the interior and exterior of the premises (referred to as a tenant improvement allowance). For example, a sports bar may spend significant tenant improvement allowances buying refrigerators and TVs.

If the landlord files an eviction suit without a court order requiring the tenant to leave all equipment in the premises, the tenant might shut down and remove the equipment. To prevent the tenant from taking the equipment, a landlord may seek an order from the court, known as a distress writ, which prevents the tenant from removing or destroying any of the valuable property located in the premises. A commercial landlord may even request a distress writ from a judge without the tenant’s attorneys present.  This would allow a landlord to serve the tenant with an order that prevents the tenant from removing its equipment before filing its eviction complaint.

In order to obtain a distress writ:

(1) the landlord needs to get a court order;
(2) the landlord must plead facts that state the basis for the concern that valuable property may be removed;
(3) the landlord will likely be required to post a bond;
(4) the tenant must have the opportunity to obtain an immediate hearing to dissolve the writ; and,
(5) there is the opportunity for a prompt hearing on the merits of the case.

Typically, the landlord files a motion under oath seeking the distress writ in the circuit court (provided the value of the equipment exceeds $15,000). The landlord must post a bond for either twice the amount owed or double the estimated value of the property.  A landlord seeking a distress writ must follow the procedure carefully and would be wise to involve counsel.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations. Attorney Advertising.

© Shutts & Bowen LLP

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