[robert0488]

Hello,

Our company is based in Florida, the company's president, as apporved by the board of directors, excercised the lease renewal option for our office for an additional 5 years as stated in our lease agreement. However, the landlord has notifyed us that the renewal is invalid because it was not signed by all the grantors on the lease. We purchased the company's stock and the prior owner was listed on the lease as a grantor. In the assignment of the lease he also accepted to be grantor in the event the company excersized the renewal option. Therefore the company, and its owners did not feel it was necessary to obtain his appoval of the renewal based on the prior assignment of the lease. The landlord has stated that they are going to evict us if we do not vacate the office asap. My question is, if the company's owners and board of directors have approved the lease option, and the prior owner already agreed to accept to be a grantor in the event the company renewed, did the company have to obtain the approval of the prior owner as grantor? Also, the company is the tenant, not the grantor(s), does the company have the right to renew without the written concent of any grantors? The prior owner has not notified the landloard that he wishes to be removed from the lease. In the event he did request to be removed, or refused to be listed as a grantor could this be cause for the landlord to not accept the company's renewal? Any help would be greatly apprciated.

[excon]

Hello robert:

In the normal course of events, we deal with residential landlord/tenant law, so I'm happy to get an opportunity to help. The problem is, commercial landlord/tenant law is WAY different than residential. Therefore, I strongly recommend that you hire a real estate attorney familiar with these matters.

Having said that, I certainly have an opinion. From what I gather, a corporation is the tenant. YOU now own the corporation. But, it's the corporation who is extending its lease, NOT the owners (new or old).

However, you mention the term "grantor". I don't know what that is. IF this is a person who has personally guaranteed the lease, then his guarantee continues and his permission isn't needed. He already gave it the first time.

So, not knowing what the term means from a legal standpoint, I couldn't say whether he needs to sign a renewal or not.

The above notwithstanding, why would a landlord want good paying tenants out of his building? If he's going to cause you trouble, maybe you should move. It's not like it's a retail location. Seems to me, for the price of a lawyer (which you'll need if you want to stay), you could locate other offices.

excon