Most commercial leases for multi-tenant properties contain clauses which regulate the tenants’ use of the leased premises. Many tenants will require a landlord to grant the tenant the exclusive right to operate a certain business or sell a certain product to avoid competing with other tenants. These provisions are appropriately referred to as exclusive use clauses. For the landlord to satisfy its obligations under an exclusive use clause of one lease, the landlord is required to incorporate provisions in its other leases prohibiting the other tenants from using the leased premises for the restricted purpose. These clauses are commonly referred to as prohibited use clauses.
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Real Estate
What is the Gulf Opportunity Zone?
Many C-Level executives and small business owners have heard of the Gulf Opportunity Zone (the GO Zone Act) and know that it does something for Louisiana businesses, but they do not know if or how the new law can help them and their employees. Kean Miller has prepared a comprehensive summary of the GO Zone Act and its sister law, the Katrina Emergency Tax Relief Act of 2005 (“KETRA”). This summary describes the key legislative provisions and explains how Louisiana-area businesses, both large and small, can maximize the GO Zone benefits available to them.
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Withholding Consent to Assignment – What is Reasonable?
By Linda Clark on
Very often, contracts prohibit assignment without the other party’s consent. If you think you might ever want to assign a contract (bearing in mind that a merger or sale of the business can trigger assignment), then this kind of provision should generally be modified by adding that the other party’s consent cannot be unreasonably withheld, conditioned or delayed.
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Wind Versus Flood Coverage and Hurricane Katrina
Reproduced with permission from Class Action Action Litigation Report, Vol. 6, No. 21, pp. 795-797 (Nov 11, 2005). Copyright 2005 by The Bureau of National Affairs, Inc. (800-372-1033). http://www.bna.com The damages caused by Hurricane Katrina in Louisiana, Mississippi, and Alabama constitute the largest natural disaster in U.S. history. Hurricane Katrina’s impact on insurers and their policyholders have already set in motion what will probably be one of the largest legal and public policy storms to hit the United States in modern times. Nowhere will the storm be more evident than in disputes involving wind and water damage coverage. The eye of the coverage storm is already manifesting itself in coastal areas of Louisiana, Mississippi, and Alabama.
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Louisiana Contracts and the Doctrine of Impossibility
By Kean Miller on
By the Kean Miller Business Law Team
Many businesses in Louisiana are now assessing how Hurricane Katrina and Hurricane Rita have affected and will continue to affect their contracts with clients, vendors, partners, and others. This article provides some general guidelines that businesses can use to determine if and how their contracts’ terms or Louisiana’s commercial law may affect contractual rights and obligations in light of the hurricanes.
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Louisiana Taxpayer Victory May Help Others Avoid Increased Assessments
By Kean Miller on
Assessors are charged with the duty of determining the fair market value of business and residential property in Louisiana so that annual ad valorem property taxes can be imposed. This duty to determine fair market value is modified by a duty to insure that assessments are uniform. That is, similar properties should have similar assessments.
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Louisiana In-House Counsel Rule Deadline Approaching
By Kean Miller on
Posted in Business and Corporate, Business Litigation, Class Action, Constitutional Law, Environmental Litigation and Regulation, Health Law, Intellectual Property, Labor and Employment Law, Legacy Oil Field Sites, Louisiana In General, Products Liability, Real Estate, State and Local Taxation, Toxic Tort Litigation
In-house counsel who are employed in Louisiana but are not licensed to practice law here have until July 1, 2005 to file an application for limited licensure to practice under the Louisiana Supreme Court’s new In-House Counsel Rule.
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Tenant Improvements – Who Owns Them?
By Kean Miller on
Posted in Business and Corporate, Real Estate
Who owns the improvements constructed by a tenant is often a critical issue when a lease terminates. If a lease does not address the issue, the relevant Louisiana Civil Code Articles will apply. Effective January 1, 2005, Louisiana revised the Civil Code Articles regarding leases. The revised Articles specifically address improvements made by tenants and govern if the lease is silent on the issue.
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Understanding a Lease Obligation to Restore to “Original Condition”
By Kean Miller on
Posted in Real Estate
A lease usually imposes on the tenant an obligation to return the leased property in the same condition as when delivered, excepting ordinary wear and tear. Even in the absence of such a contractual clause, an obligation to so restore the leased property is imposed by law. This type of obligation may impose on a…