News & Analysis as of

Impossibility Rent

Tucker Arensberg, P.C.

Pennsylvania Superior Court Holds that Doctrines of Frustration of Purpose and Impracticability/Impossibility of Performance are...

Tucker Arensberg, P.C. on

In the first Pennsylvania appellate case addressing the effects of government-ordered business closures due to the Covid-19 pandemic on a commercial lease default, the Pennsylvania Superior Court has held that the traditional...more

Holland & Knight LLP

Frustration of Purpose and Impossibility Doctrines in the COVID-19 Era

Holland & Knight LLP on

In a survey of cases in federal, state and bankruptcy courts, commercial tenants seeking to delay or excuse the payment of rent because of pandemic-related downturns in business sometimes looked to the equitable doctrines of...more

Pillsbury Winthrop Shaw Pittman LLP

Court Finds Pandemic Does Not Satisfy Lease’s Casualty Clause

One year into the pandemic, courts have almost uniformly found that COVID-19 does not permit commercial tenants to avoid their rent payment obligations. In this case, the court continued that trend, ruling that the pandemic...more

Holland & Knight LLP

March Decisions Bring Mixed Results for Parties to New York COVID-19 Commercial Lease Disputes

Holland & Knight LLP on

Two recent cases from New York state court came out on opposite ends of the landlord-tenant and landlord-guarantor divides over COVID-19-related commercial lease disputes. On the pro-landlord end of the spectrum, in Mept 757...more

Farrell Fritz, P.C.

The Commercial Division Continues to Rule Against Businesses Seeking Financial Relief Amidst COVID-19 Shutdowns

Farrell Fritz, P.C. on

We all hoped ringing in the New Year would mean leaving some of the hardships from the COVID-19 pandemic behind in 2020. However, in just two short months, businesses struggling with rent and other financial obligations due...more

Goulston & Storrs PC

Law of the Land – Real Estate Litigation Newsletter - February 2021, Volume 1, Issue VI

Goulston & Storrs PC on

CASES OF NOTE THE SECRET'S OUT Victoria’s Secret Stores, LLC v. Herald Store Owner LLC, 70 Misc. 3d 1206(A) (N.Y. Sup. Ct. Jan. 7, 2021) A New York court recently held that a retailer’s closure due to a state law imposed...more

Farrell Fritz, P.C.

The Secret’s Out: COVID-19 May Not Excuse Commercial Rent Obligations

Farrell Fritz, P.C. on

The lingerie brand Victoria’s Secret (“VS”) has struggled in recent years. VS’ overtly sexy aesthetic has failed to keep up with shifting consumer tastes towards comfort and gender and size inclusivity....more

Kramer Levin Naftalis & Frankel LLP

Commercial Leases in New York: Enforcement Is on Pause, but Negotiations Should Be Ongoing

New York courts are resuming some operations, but eviction proceedings, including for violations of commercial leases, are still suspended. However, those contracts — and the obligations they created — still exist. ...more

Cozen O'Connor

Commercial Tenants Raising Impossibility of Performance and Frustration of Purpose

Cozen O'Connor on

New York courts have applied the common law doctrines of Impossibility of Performance and Frustration of Purpose narrowly and strictly and only in limited circumstances when raised by commercial tenants who refused to pay...more

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