The Ubiquitous “Excess Rent” Provision

The boilerplate “excess rent” or “rent differential” clause appears in many commercial leases.  Usually buried in a voluminous lease, no one pays much attention to it until the tenant vacates and the landlord sues for damages.  All of a sudden, the excess rent clause assumes critical importance as the landlord tries to prove up its damages.  The rent differential/excess …

The Landlord’s Duty to Mitigate Damages

  When a commercial tenant defaults under a multi-year lease, say by abandoning the premises with several years left on the lease, the law requires the landlord to mitigate its damages.  So, if retail tenant skips out on a 10-year lease after year 2,  the landlord cannot sit idly by for 8 years and then recover 8 …

An Illinois Landlord’s Commercial Lease Damages

In a typical commercial lease lawsuit, the tenant is long gone and possession is not in issue.  Usually, it’s a retail tenant whose business is suffering and who can’t pay the required rent.  Because of this, getting a possession order is often an afterthought as the landlord’s main focus is trying to recover damages from …