When a commercial tenant fails to make their rent payments or violate your lease agreement. In case all efforts in mediating with the tenant has failed, then eviction should be the next scenario.
The process of evicting a commercial tenant can be both costly and time consuming. Proving that your tenant violated the terms of the lease agreement is hard compared to proving the tenant owes you rent arrears. In most cases, the eviction of a tenant is a burden of proof that showcases you have a cause.
Business Decision Making
The occurrence of cash flow problems to businesses makes it hard to lock the tenants from their areas of business when they fail to meet their monthly rent. There are various steps you must take to have them legally evicted.
Before evicting your tenant, it is important to consider the business aspects. You should be able to determine the time of taking the lease of the property and the costs incurred in form of repairs. You should also establish the monetary financial troubles bound to occur if the tenant stays with the current rent.
The legal process of eviction of the commercial tenant should be reached after weighing the number of options available. Without seeking the legal manner of solving manners, you will end up losing money on your property.
Hiring a Lawyer
It is important to understand there is a different between residential and commercial tenants in regards to rights of each body under the law. There is a common abuse from landlords which is shown to residents compared to commercial tenants. However, this does not mean that as a property owner, you can violate the laws in your specific state.
Since the due process of evicting a commercial tenant must be followed with respect to the law, you should consult litigation advocates to help you file for an eviction order. However, this largely depends on whether you are running a corporation or a partner and whether the lease was offered personally or by the business owner.
Discovering Whether Tenant Has Filed for Bankruptcy
When a tenant files for bankruptcy especially after the beginning of the eviction process, it can prove to be a bit complicated to go through. There are a number of laws which are passed to stop the process of eviction for commercial tenants when involving a bankruptcy court. There are a number of individual state laws which can bar the eviction process due to rent arrears for commercial tenants. Automatic stay can be granted to the commercial tenant when they file for bankruptcy before the landlord attempts to evict them from the property as soon as the rent arrears build up.