Warning of Default on Commercial Lease - Louisiana 2025

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If a lease violates public policy, it is void. The lease is null and void if discrimination takes place there. For instance, a commercial lease that specifies that the tenant must not provide services to members of a particular religion or racial minority group is void.
If your business defaults on a lease, it means that you fail to comply with one or more provisions in the leasing agreement. When this happens, your landlord sends your company an official letter. They have the right to hold you accountable for any missing payment and damages associated with your default.
Commercial leases require an effective default clause that allows the landlord to force a tenant to comply with all lease obligations. The default clause commonly provides the procedure for obtaining an eviction or the threat of an eviction for a commercial tenants violation of the lease.
Once the tenant is found to be in violation of the contract, they are sent a lease violation notice. This written notice informs the tenant of the lease term or policy that they failed to follow. The tenant must also remedy the problem within a given time period.
A default is a failure to comply with a provision in the lease. Curing or remedying the default means correcting the failure or omission. A common example is a failure to pay the rent on time.

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If the tenant is not paying rent, it is a breach of the commercial lease agreement. That breach entitles the landlord to take appropriate legal action. In many cases, that legal action is an eviction. That eviction has to be done lawfully and ing to the terms of the commercial lease.
Legal and Financial Consequences For Tenants Accumulating late fees can lead to financial strain, potential eviction, and legal action for unpaid rent. For Landlords Persistent defaults may result in lost revenue, legal costs, and challenges in re-leasing the property.
Typical events of default include non-payment or late payment of amounts due, breach of certain material representations and warranties or covenants, cross-default, breach of change of control provisions, and insolvency.

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