Where commercial tenancies run into trouble
New York treats business tenancies very differently from residential ones. Many protections that apply to apartments, such as the cap on security deposits, do not apply, and the lease itself carries most of the weight. Problems often begin with a notice of default claiming unpaid rent, an unapproved alteration, or a use outside what the lease allows. Selling a business usually requires the landlord's consent to assign the lease, and that clause can block or reprice a deal. Leaving early is harder than many owners expect, because New York courts have generally not required commercial landlords to re-rent space to reduce what a departing tenant owes.
The papers that control the outcome
Pull together the full lease with all amendments, the work letter if there was a build-out, and any personal guaranty, including whether it is a limited guaranty that ends when the space is surrendered on stated conditions. Add rent ledgers, escalation and operating expense statements, and correspondence about repairs or disputes. Any notice you receive should be read the day it arrives, since commercial leases often give a short cure period. In New York, a tenant facing a notice to cure can ask a court to pause that period while the dispute is decided, but the request generally has to be made before the cure period ends.
Choosing a response
We look at whether the landlord's claim is sound under the lease, what the guaranty exposes personally, and whether there is room for a negotiated amendment, a rent deferral, or a surrender agreement. For landlords, the same review covers whether a notice was properly drafted and served before a case is started. In New York City, commercial possession cases usually go to Civil Court, while requests to pause a cure period or to interpret the lease are typically brought in State Supreme Court. The goal in a first conversation is to decide whether this is a negotiation, a court matter, or both, and what has to be done this week to keep options open.
