Restructuring Your Commercial Lease in Times of Crisis

Safe to say, the world as it is today is a vastly different place than it was when you first signed your commercial lease. Unforeseeable circumstances— sometimes referred to as ‘force majeure’ or ‘acts of god’— have a way of complicating business. With the recent social distancing and subsequent economic slowdown caused by the COVID-19 outbreak, many restaurants find themselves struggling to stay afloat. One of the most crucial issues to deal with is how to make your contractual payments— such as your lease expenses— when your company is bringing in little to no revenue. There are very few businesses that can afford to sustain these payments during times of extreme economic stagnation.

While it can seem harsh for your landlord to keep demanding payments, it has to be remembered that they’re in a similar situation. Landlords also have large expenses, such as property insurance and mortgages, that they need to make monthly payments on; they rely on collecting rent…