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Real estate disputes may arise over lease issues

Running a business and its success can often hinge on where the base of operations is located. As a result, when a business has to move due to construction or other changes in the area, it can have a major impact on the company. In fact, if the move does not go as planned, real estate disputes could result.

California residents may be interested in a commercial lease dispute currently underway in another state. Reports indicated that a real estate development project had resulted in the demolition of a building that had housed a bar. The developer and the bar owner had apparently come to an agreement to keep the bar's current lease, which was to run through 2020, at a new location. The developer also paid the bar owner $30,000 per month to make up for lost revenue.

However, the bar owner has apparently been unable to obtain a liquor license that would allow the bar to continuing operating as desired at its new location. Now, the owner wants the developer to pay approximately $600,000 in fees associated with terminating the current lease. The developer believes that the owner has not taken the proper steps to actually obtain the liquor license that would allow for continued operations. As a result, the bar owner has filed a lawsuit against the developer for payment of the termination fees.

Real estate disputes can stem from any number of issues, and problems with leases is just one of them. Still, California business owners who are having commercial real estate issues may want to understand that they have legal options for addressing these conflicts. Reviewing their available avenues with their attorneys may help them find their best courses of action.

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