QUESTION

What do I do when my landlord posts on facebook that someone else will be taking over our business?

Asked on Oct 14th, 2014 on Breach of Contract - Colorado
More details to this question:
We are coming to our end of a two year lease for the business. We have been working with a bank to finance our purchase of the building that the business is in. Our landlord is fully aware of what we are doing although he has been absent the entire time we ran this business. Now he posts on facebook that someone else is going to take it over as soon as the lease is done. He has never contacted us personally, in a letter, or phone call that this was happening. We have first right of refusal if someone wanted to buy the building. I feel violated since we built the business to what it is and will lose it apparently now. Could this be a breach of our lease contract? What do we do now?
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1 ANSWER

Appellate Practice Attorney serving New York, NY
Whatever your landlord writes, he has to honor your right of first refusal.  If he/she/it does not, you can sue him/her/it for breach of contract.  Therefore, if you can match what the landlord is offered for the building, you should be able to keep your business. The landlord's current actions (publicizing his claim that someone else will be taking over at the end of the lease) could be considered a breach of his duty of good faith and fair dealing under the lease, but frankly it is a close call and I'm not sure if you want to file suit on that basis at this point.  However, I think you would be wise to get the word out that your landlord is incorrect; that you have a right of first refusal on the building and have every intention of matching any reasonable offer. I assume that you have recorded your right of first refusal just as you would record a mortgage; if you haven't DO IT NOW. This puts all potential purchasers on notice of your rights and avoids a risk of losing the builiding to a purchaser who had no way of knowing about your right of first refusal. I think it would be a good idea for you to consult a Colorado attorney about this matter.
Answered on Oct 15th, 2014 at 9:35 AM

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