Lease agreement issues with my fitness studio's landlord?
Asked on Mar 27th, 2013 on Business Law - New York
More details to this question:
I knew what my fitness business would offer before I found the location. I found a space that offered "advanced heating system-- perfect for hot yoga" and thought that was perfect because I wanted to offer hot yoga. It was directly next door to a yoga center. I asked the real estate agent REA) if that would be a problem and she said no because they're well established. We met with the landlord and I told him about my space and said he could look at my website to which he declined. We signed the lease. Yesterday, he contacted me saying that I need to remove my yoga classes because it violates his agreement to the yoga space not to rent out to competition and the REA made a mistake. I have already paid for advertising for my yoga, hired somebody, and signed people up. It says nothing in my lease about what I can and can't offer nor does it mention him being able to impart rules at random. Legally, can he say I need to get rid of all of my yoga classes (some the other place doesn't have).
No, based on your post. Sounds like a major screw up all around, including by your lawyer and agent. There is a form lease for a strip mall that has a paragraph that does what the landlord is saying. If he used some other form, he screwed up. The problem is even if your lease allows it, the other lease might require him to sue you. In short the guy is going to owe someone. Get a lawyer, and you may have limited time to negotiate something.
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