Legal Advice Blog: Legal Advice, Case Insights, & Local Law Information

Commercial real estate is quite different from residential real estate in many ways, but there is one area where they are quite similar. According to REoptimizer, the law does put restrictions and limits on your interactions with your commercial tenants. One of the main rules that apply in both residential and commercial real estate is the right to equality. You cannot discriminate against tenants due to any protected status. Privacy Your tenants also have rights when it comes to using the property and feeling secure in it. You cannot constantly enter the premises and micromanage the use of the building. You need to give notice prior to entry and make sure that you are giving your tenants privacy. Disclosures There are certain things you must tell tenants prior to leasing a property. This includes anything that could cause a health or safety concern. You should disclose issues that could lead to problems with running a business in the location as well. Evictions Just as residential landlords have to follow certain procedures to evict a tenant, you do, too. You cannot lock your tenant out of the buildings or force eviction without going through the proper channels. You must provide notice of the eviction with an explanation of why. Safe premises Your tenants also have a right to a safe and secure premises. If there are issues that you must legally handle, then you need to do so quickly as soon as you become aware of the situation. You also need to ensure that you follow your lease and take care of anything to which you agreed to have responsibility.

It is common for local areas to create ordinances to help protect tenants in rental situations. According to the Los Angeles County Consumer & Business Affairs, the Los Angeles County Rest Stabilization Ordinance is a law that limits rent increases and offers eviction protections. There are several conditions of this ordinance that may alter protections, and it does not apply to every rental. Rent increases The rent increase limit provides a restriction on how much a landlord may raise your rent in a 12-month period. As of 2020, that limit is 3%, but it changes often according to the Consumer Price Index. You should always verify the current limit before making a claim that your landlord violated the ordinance. Evictions The eviction protection limits eviction rights to just cause. Potential reasons for eviction include you breaking terms of your lease or rental agreement, if you receive an order to vacate from the government or if your landlord wishes to demolish the property. It also allows for your landlord to evict you if he or she wishes to stop renting or to move his or her close family members into the unit. Coverage This ordinance only covers rentals in the unincorporated area of the county. There is partial and full coverage. Partial coverage only offers protection against evictions, while full coverage provides rent increase and eviction protection. For full protection, your rental unit must be in an unincorporated area and have two or more rentals on the same property. It also must have a certificate of occupancy from one or before February 1, 1995.

Some types of insurance, such as general liability, are a necessity for all businesses, but your company may need coverage unique to your business circumstances. Likewise, a standard policy may be missing crucial clauses while some inclusions are unnecessary. Consider whether these types of insurance may be right for your business. Auto insurance A car accident could cause damages far above what your personal auto insurance will cover, and a personal policy may not even cover driving done for work. Hired and nonowned auto policies will cover damages from accidents in your personal vehicle that you are using for work. If you have a company vehicle and policy, check the coverage. While $1 million coverage for liability and auto may seem excessive, that amount may actually be a safe choice. Key person insurance If your company cannot remain functional without one key professional, you may benefit from a life insurance policy on that person. In the event of your key person’s untimely death, you would have the money to stay open while recovering from the loss or to close down the business. Business interruption insurance As many companies have discovered, temporary closure can become permanent due to lost income. If your company is not able to fully operate because of a disaster or national emergency situation, business interruption insurance can cover some or all of your losses. Cyber insurance The prevalence of data breaches may have you concerned about what a hacker could do to your company and your customers’ privacy. A cyber insurance policy may keep your company alive while you recover from a security breach. The amount of coverage should always be commensurate with the unique level of risk your business faces, which may require a careful analysis to determine.

Some types of insurance, such as general liability, are a necessity for all businesses, but your company may need coverage unique to your business circumstances. Likewise, a standard policy may be missing crucial clauses while some inclusions are unnecessary. Consider whether these types of insurance may be right for your business. Auto insurance A car accident could cause damages far above what your personal auto insurance will cover, and a personal policy may not even cover driving done for work. Hired and nonowned auto policies will cover damages from accidents in your personal vehicle that you are using for work. If you have a company vehicle and policy, check the coverage. While $1 million coverage for liability and auto may seem excessive, that amount may actually be a safe choice. Key person insurance If your company cannot remain functional without one key professional, you may benefit from a life insurance policy on that person. In the event of your key person’s untimely death, you would have the money to stay open while recovering from the loss or to close down the business. Business interruption insurance As many companies have discovered, temporary closure can become permanent due to lost income. If your company is not able to fully operate because of a disaster or national emergency situation, business interruption insurance can cover some or all of your losses. Cyber insurance The prevalence of data breaches may have you concerned about what a hacker could do to your company and your customers’ privacy. A cyber insurance policy may keep your company alive while you recover from a security breach. The amount of coverage should always be commensurate with the unique level of risk your business faces, which may require a careful analysis to determine.

It is common for local areas to create ordinances to help protect tenants in rental situations. According to the Los Angeles County Consumer & Business Affairs, the Los Angeles County Rest Stabilization Ordinance is a law that limits rent increases and offers eviction protections. There are several conditions of this ordinance that may alter protections, and it does not apply to every rental. Rent increases The rent increase limit provides a restriction on how much a landlord may raise your rent in a 12-month period. As of 2020, that limit is 3%, but it changes often according to the Consumer Price Index. You should always verify the current limit before making a claim that your landlord violated the ordinance. Evictions The eviction protection limits eviction rights to just cause. Potential reasons for eviction include you breaking terms of your lease or rental agreement, if you receive an order to vacate from the government or if your landlord wishes to demolish the property. It also allows for your landlord to evict you if he or she wishes to stop renting or to move his or her close family members into the unit. Coverage This ordinance only covers rentals in the unincorporated area of the county. There is partial and full coverage. Partial coverage only offers protection against evictions, while full coverage provides rent increase and eviction protection. For full protection, your rental unit must be in an unincorporated area and have two or more rentals on the same property. It also must have a certificate of occupancy from one or before February 1, 1995.

If you are thinking about evicting a tenant, there are many factors to go over. For example, you have to think about the financial side of eviction, as well as the feasibility of discussing these matters with your tenant. On their website, the Office of the Attorney General provides a number of helpful tips for landlords who are considering evicting a tenant. From security deposits to property damage and legal action, there are many factors that landlords in this position need to consider. Evicting a tenant is often very stressful. However, carefully going over key considerations helps landlords approach the process correctly. Eviction and legal action Sometimes, landlords find themselves in court as a result of an eviction. For example, some tenants accuse their landlord of discrimination or file suit over financial matters. If you have to take a tenant to court, you need to prepare for the different legal hurdles that often arise and make the right decisions. A lot of landlords are struggling with eviction during this difficult time and many are having an especially difficult time with respect to eviction. Small claims cases due to eviction Often, when litigation surfaces as a result of eviction, the cases end up in small claims court. Disputes which involve less than $10,000 are often handled in small claims court. If you find yourself in this position, it is imperative to carefully prepare documents and look for other strategies to strengthen your case, such as eyewitness support. Sometimes, these cases are more serious and prompt landlords to find legal representation.

If you are thinking about evicting a tenant, there are many factors to go over. For example, you have to think about the financial side of eviction, as well as the feasibility of discussing these matters with your tenant. On their website, the Office of the Attorney General provides a number of helpful tips for landlords who are considering evicting a tenant. From security deposits to property damage and legal action, there are many factors that landlords in this position need to consider. Evicting a tenant is often very stressful. However, carefully going over key considerations helps landlords approach the process correctly. Eviction and legal action Sometimes, landlords find themselves in court as a result of an eviction. For example, some tenants accuse their landlord of discrimination or file suit over financial matters. If you have to take a tenant to court, you need to prepare for the different legal hurdles that often arise and make the right decisions. A lot of landlords are struggling with eviction during this difficult time and many are having an especially difficult time with respect to eviction. Small claims cases due to eviction Often, when litigation surfaces as a result of eviction, the cases end up in small claims court. Disputes which involve less than $10,000 are often handled in small claims court. If you find yourself in this position, it is imperative to carefully prepare documents and look for other strategies to strengthen your case, such as eyewitness support. Sometimes, these cases are more serious and prompt landlords to find legal representation.

From exchanging products and services to leasing and transferring real estate, legal contracts are an essential part of American commerce. Adopted by every state in the U.S., the Uniform Commercial Code ensures that businesses can rely on the law to enforce those contracts if necessary. In the event of a contract breach, the non-breaching party may be able to recover monetary damages in court. However, financial compensation is not always enough to restore a business’s position. Equitable remedies offer a potential non-monetary alternative when parties need to resolve a contract issue. 1. Specific performance enforcement When the subject of a contract is unique or difficult to acquire from another source, such as a piece of property or a rare good, it may be preferable to request that the court enforce the terms of the original agreement. Known as specific performance, under this remedy the court orders the breaching party to perform the specific actions stated in the contract. 2. Contract reformation In some cases, a contract may contain a mistake, ambiguity or misrepresentation that does not reflect the original intentions of each party. When this happens, a judge may order the parties to rewrite the contract in whole or in part so that it accurately conveys the true intention of the agreement. 3. Contract Rescission Rescission allows one or both parties to dissolve the original contract entirely. This may be preferable when parties agree that doing so will help to minimize the cost of mutual damages. Rescission may also be appropriate if one party has committed a misrepresentation or mistake, breached fiduciary duty or else exercised undue influence or coercion.

From exchanging products and services to leasing and transferring real estate, legal contracts are an essential part of American commerce. Adopted by every state in the U.S., the Uniform Commercial Code ensures that businesses can rely on the law to enforce those contracts if necessary. In the event of a contract breach, the non-breaching party may be able to recover monetary damages in court. However, financial compensation is not always enough to restore a business’s position. Equitable remedies offer a potential non-monetary alternative when parties need to resolve a contract issue. 1. Specific performance enforcement When the subject of a contract is unique or difficult to acquire from another source, such as a piece of property or a rare good, it may be preferable to request that the court enforce the terms of the original agreement. Known as specific performance, under this remedy the court orders the breaching party to perform the specific actions stated in the contract. 2. Contract reformation In some cases, a contract may contain a mistake, ambiguity or misrepresentation that does not reflect the original intentions of each party. When this happens, a judge may order the parties to rewrite the contract in whole or in part so that it accurately conveys the true intention of the agreement. 3. Contract Rescission Rescission allows one or both parties to dissolve the original contract entirely. This may be preferable when parties agree that doing so will help to minimize the cost of mutual damages. Rescission may also be appropriate if one party has committed a misrepresentation or mistake, breached fiduciary duty or else exercised undue influence or coercion.

Commercial real estate laws are much different than those for residential real estate because the goals are different. In commercial real estate, you have the right to limit who you rent to. While you cannot discriminate based on protected factors, such as race or religion, the California Department of Real Estate does state that you have the right to limit the use of your property. Essentially, this means that you can deny a rental application if you do not like the specific business the applicant wants to put there. Contract details You can include in your contract limitations about the use of the property. This would allow you to exclude certain businesses for the premises. It is essential to ensure your contract is clear and covers everything possible to exclude certain types of businesses. If your contract is not precise, then you will have no legal grounds upon which to object to the business operations. Change of business If your tenant suddenly changes his or her business or shifts the focus to something of which you do not approve and it violates the contract, then you can terminate the agreement. You may still have to go through the eviction process. The tenant may also have the right to end your agreement in some situations without a breach occurring. Illegal activities If the business activities are not legal, then you still must state in your contract that the tenant cannot use the property for illegal purposes if you want to be able to end the agreement. Illegal activity is not an automatic trigger for your rights to evict.

Commercial real estate laws are much different than those for residential real estate because the goals are different. In commercial real estate, you have the right to limit who you rent to. While you cannot discriminate based on protected factors, such as race or religion, the California Department of Real Estate does state that you have the right to limit the use of your property. Essentially, this means that you can deny a rental application if you do not like the specific business the applicant wants to put there. Contract details You can include in your contract limitations about the use of the property. This would allow you to exclude certain businesses for the premises. It is essential to ensure your contract is clear and covers everything possible to exclude certain types of businesses. If your contract is not precise, then you will have no legal grounds upon which to object to the business operations. Change of business If your tenant suddenly changes his or her business or shifts the focus to something of which you do not approve and it violates the contract, then you can terminate the agreement. You may still have to go through the eviction process. The tenant may also have the right to end your agreement in some situations without a breach occurring. Illegal activities If the business activities are not legal, then you still must state in your contract that the tenant cannot use the property for illegal purposes if you want to be able to end the agreement. Illegal activity is not an automatic trigger for your rights to evict.

Adverse possession is a legal concept governing the possession of land owned by someone else. The adverse possessor acquires valid title to the property in question as long as he or she has the land for the length of time dictated by the state statute and meets all common law requirements. The doctrine of adverse possession helps encourage landowners to be more responsible about their properties as a way to avoid land waste and helps align land title disputes when there is a difference between the official records and how people use the property in reality. An effective adverse possession claim meets all five required elements. Continuous possession A single person must have continuous possession of the land. The adverse possessor uses the property for an ongoing and uninterrupted time. He or she must use the property as the true owner would. For example, seasonal use of a vacation home over the course of many years is acceptable because that is how the owners would use it too. Hostile possession Possession of the property is hostile when it infringes on the rights of the true owner. The adverse possessor must have awareness of trespassing, occupy the land or make an honest mistake. An example of an honest mistake is if a person relies on an incorrect deed. Open and notorious possession The person’s act of trespassing cannot be secret or sneaky. He or she has to openly act like the owner of the property. The adverse possessor’s actions put the true owner on notice about the trespassing. Actual possession The adverse possessor must actually physically possess the property and treat it as his or her own. Merely planning to occupy the land does not count. Exclusive possession The person’s possession of the property must remain exclusive, meaning that he or she does not share control of the property with anyone. The adverse possessor keeps others off of the land, including the owner. The period required for occupation of adversely possessed in California is five years and the person must also pay taxes during that time.