Why You Should Hire a Lease Agreement Lawyer

Facts About Lease Agreements

In essence, a lease agreement is a legal document that outlines the relationship between a commercial landlord and a business tenant. These contracts usually involve a significant investment of time and money between both parties, making it imperative to have a solid understanding not only of what the document enjoins, but also the protections each party can take in order to safeguard its interests. The tenant is generally in the stronger position regarding the leasing of commercial real estate, given the investment the tenant makes in improvements to the property. Therefore, the landlord should have stronger protections built into the contract as a whole so that its own investments are also protected.
Landlord-tenant law in general is extremely complicated and highly localized. Your community may contain special zoning and other occupancy restrictions that affect how your business can operate. Even states such as California, which has an extensive range of clean air regulations, has many local exceptions to those laws in their cities and towns.
Your commercial lease can be thought of as a highly specialized form of contract that tailors the general landlord-tenant law applicable to your community to the particular facts and circumstances of your situation. Such a crucial document obviously contains many different provisions , but some of the most important and most sensitive to negotiation include:
The details of these categories vary by community and by property. For example, a large-scale shopping mall will need significantly different landlord-tenant provisions than a small retail operation. The size of a commercial tenant’s operation is less relevant than the potential risk the nature of that business poses.
As an example, if you were a fast food business, perhaps located near a busy intersection, it would be imperative that your lease clearly delineate the times you are allowed to open and close for business, as this type of business is one that can cause a significant amount of noise and disturbance even during off hours. Similarly, the number of parking spaces available to your customers might be limited at an entry to a large shopping complex, so the spaces available to you and your business may be a further point of consideration.
Because every lease agreement is as unique as every business and its property, one size does not fit all. Your lease should appropriately meet the needs of your business and the landlord. This is also crucial because there are many different types of leases, and they do not all function the same way.

When to Hire a Lease Agreement Lawyer

Whether you are going to be the landlord or the tenant, you may need a lease agreement lawyer at some point. Even if the landlord provides a written lease, there are very few laws regulating what must be included in a residential agreement so there is still much room for interpretation. Landlords and tenants should both have a complete understanding of the agreement before they sign it, which may require bringing in help to clarify any confusing points. You also may wish to modify a standard lease to be more favorable (or less unfavorable) to you as landlord or tenant.
Clearly, there are a number of circumstances that could arise where one or both parties to a lease agreement would benefit from consulting with a lawyer. If you think you may need legal assistance before or during the lease agreement process, whether you are a landlord or a tenant, contact a tenant lawyer in your area.

Advantages of Hiring a Lease Agreement Lawyer

There are numerous benefits to hiring an attorney for your lease agreements. For example, an experienced attorney can help ensure legal protection for your business and can negotiate an agreement best suited for your needs. Additionally, if problems arise or a dispute occurs, having a qualified attorney on hand streamlines the process of responding, settling and preventing future issues.
Legal Protection
The first and perhaps most obvious benefit of hiring an attorney for your lease agreements is that it provides you with a greater level of legal protection. An attorney will ensure that the terms of an agreement comply with applicable regulations and meet the unique needs of your business. In doing so, you can save a great deal of money, headaches and stress down the line and reduce your exposure to liability at the same time.
Expert Negotiation
An attorney who has experience creating lease agreements is able to expertly negotiate the terms of the agreement in order to ensure that all of your needs are met. Your attorney will be able to advocate for you and to make sure your best interests are kept in mind. They know how to spot the potential pitfalls you may encounter and will help you avoid them. This is especially crucial in agreements that are complicated or significantly differ from the standard lease agreements for your type of business.
Dispute Resolution
Unfortunately, even with the best lease agreements, disputes and problems can arise. It’s important to have someone on your side who understands the ins and outs of the law and who can help you resolve those issues in a way that meets your business’ needs. An experienced attorney can help not just in negotiating a settlement but also in protecting your interests by filing documents in court, being present at depositions and trial, or in appealing a case if necessary.

How to Select a Lease Agreement Lawyer

When selecting a lease agreement lawyer, it’s important to look for an attorney who has strong experience and expertise in both lease law and your particular sector of the economy. For commercial leases, this entails someone who has worked with a wide variety of businesses and fully understands the terms that are most relevant to your industry. This could include anything from negotiating build-out costs to determining how a lease handles responsibility for taxes and fees. The more specific of a background the attorney has, the better.
For residential leases, most attorneys have experience across a wide variety of different residential situations, but look to see if they have particular experience with your type of real estate, whether it’s an apartment, condo, duplex or single-family home.
While it’s useful to have legal counsel who is familiar with the various standards set by state and federal laws, the bottom line is you want someone who knows the local laws and court systems where you’ll be operating.
It’s also important to evaluate the character of a potential attorney. This may seem less relevant than previous factors , but a bad relationship with your lawyer could prove disastrous to your contract negotiations. For example, if your lawyer is perceived by the landlord to be overly aggressive, they may refuse to budge on certain aspects in a negotiation, leaving you limping away with a bad deal. The opposite is also true. An attorney who is very laid-back and unwilling to fight over certain issues might just leave money and opportunities on the table that you should have been able to secure.
Talking to other clients is therefore a good way to get insight into the expertise and attitude of a potential attorney.
A well-written lease agreement can mean the difference between a functional relationship with your landlord, or a relationship set up for perilous failure. Whether you are a tenant or a landlord, having a lease agreement lawyer will help you set the stage for future success and avoid legal complications down the road.

Mistakes made in Lease Agreements

Signing a lease agreement without thorough evaluation and review could result in costly mistakes. One common error is that terms and conditions are not written in standard language, leaving things open to interpretation. Different courts may have varying interpretations of lease provisions and this is the root cause of many landlord-tenant disputes. If a provision is unclear, it may be ruled against the one who drafted the contract. An experienced NJ lease agreement lawyer can provide standard form agreements, which have language tried-and-tested in courtrooms to stand the careful scrutiny of judges.
It is also important to understand that rental laws vary from state to state and sometimes from city to city. Therefore, landlords and tenants need to be aware of all important local laws that may apply to lease agreements. An experienced attorney will know how to draft lease agreements in compliance with local ordinances.
A common error made by landlords is to go with a one-year lease agreement for all tenants, even if they only want a short-term arrangement. However, under local landlord-tenant law, a lease agreement must satisfy a minimum standard term. For example, California landlord-tenant law requires that the minimum term for the lease agreement be 12 months, although an exception exists for senior citizens who wish to lease premises for a shorter period.
Another common mistake is that all lease provisions are not followed or are not enforced. Under some lease agreements, a landlord may have to give a 30 day notice before raising the rent, but because this requirement was ignored and the notice was given late, the tenant refused to raise the rent. A lease agreement attorney can ensure that the landlord will have enforceable rights under the lease agreement.

Average Costs for a Lease Agreement Lawyer

The cost of hiring a lease agreement lawyer can vary depending on several factors. Hourly rates for lawyers range from $150 to $450 depending on the complexity of the lease agreement and the experience of the lawyer. Trial work, allowing the attorney to better understand the operation of the landlord/tenant laws may be at the high end of the range. A flat fee, on the other hand, will give you more certainty as to how much the attorney will charge you.
Also, the cost may also depend on the location of the lease in question, and thus the location of the lawyer. Most attorneys that work on lease agreements are located in urban areas, so they may charge a higher rate. Still , attorneys that work on lease agreements are often well versed in the relevant law, no matter where they are located.
It is not uncommon for an attorney to charge a non-refundable retainer. Retainer fees are paid in advance for expected services, and are applied to fees as they are earned. It is important to consider whether to hire an attorney on a flat fee basis or through an hourly retainer.
What may seem low up front can often cost you more in the long run if the work is done for too low of a fee. Conversely, engagement at a higher rate does not always mean you will get the most thorough work or the best advice. As such, ask questions when interviewing an attorney to confirm that you understand up front what you will be getting for the fee.