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Shoplot Tenancy Agreement
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SUSlowya
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 Oct 27 2017, 05:39 PM
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QUOTE(Alidavidsun @ Oct 26 2017, 10:53 PM) I rented a shoplot for retail business and after about 6 months every month is just losing money. The total sales is unable to cover the rental and employee salary. So we decided to close the business. However after informing the landlord that we want to stop the rental, the landlord showed us that there was a clause saying we have to pay for the rest of the tenure if we choose to terminate the agreement early. I admit it's my bad for not reading the agreement carefully before signing it. Now they insist we have to pay the rest of the 2 year tenure or get a new tenant. Anyone experienced this before? What's the solution? what biz are u running? retail need aggressive marketing to pull traffic from all places, if you make money for first 6 mths, there is no reasons why you should just give up like that. You are dealing with foreign landlord, if company likely to execute the black and white, so you are better off the focus to turn around your biz instead of giving up. |
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SUSlowya
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Oct 30 2017, 06:38 PM
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QUOTE(shaniandras2787 @ Oct 30 2017, 05:45 PM) What is the point of serving prior notice and upon expiry of the notice, still have the tenant's deposit forfeited and then need to pay rental for all the unexpired term? one paying for opportunity cost, another one paying for agency/transition/admin fee. |
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SUSlowya
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Oct 31 2017, 11:40 AM
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QUOTE(shaniandras2787 @ Oct 31 2017, 11:28 AM) The forfeiture and penalty is true if either parties terminate the agreement without prior notice since it constitutes an "unfair" breach by giving parties no time to remedy BUT if there is a prior notice then it makes absolutely no sense. If either way, the parties are going to forfeit and penalize the other irrespective of the prior notice then why compel the parties to an extra obligation? Might as well just drop the bomb and go. There is a reason for the prior notice and not just "by the way". if unfair the tenant won't sign in the first place, how is it fair at the point of signing and not fair when things are not in his favor? notice period and minimum occupancy promised are 2 diff things, both are obligation to fulfill. |
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SUSlowya
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Oct 31 2017, 12:03 PM
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QUOTE(shaniandras2787 @ Oct 31 2017, 11:56 AM) if you read back TS's grounds of argument, he is a lay person so he may not necessarily be well versed when it comes to tenancy agreement and since his business is suffering, i assumed safely that this is his first time renting a commercial unit? further, he may be persuaded to sign the agreement by the agents or something like that. who knows? the crux of the matter is not whether the landlord is being unscrupulous or the tenant is trying to get out of a bad bargain but on the issue that whoever drafting the agreement should be shot and killed. exactly who knows? that's why black and white signed by consenting adults is a better yardstick. already mentioned the different notice period and minimum occupancy, both serving different purpose. From tenant POV it's a subset, from landlord POV it covers 2 concerns as already mentioned. how would you describe someone as "unscrupulous" when it's a legitimate document? |
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SUSlowya
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Oct 31 2017, 12:30 PM
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QUOTE(shaniandras2787 @ Oct 31 2017, 12:22 PM) Has our society dipped to such a state where people is unable to not pick sides on a discussion? It is almost sad to note. Does our society need to resort to arguing his way out against what he signed in black and white earlier with your own legal logic? |
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