QUESTION

What is the proper procedure for giving notice to a booth renter in default of contract?

Asked on May 11th, 2015 on Landlord and Tenant Law - Michigan
More details to this question:
I am an owner of a booth rental salon. One of our full time renters informed us she is going to start paying part time rent immediately. Her contract is for full time and it clearly states that is for a specified number of days with the amount due at the beginning of each week. Late payments will be assessed a late fee. The contract also states that either party may terminate the agreement with a 30 day written notice served on the other party. We are not in the position to give her a new contract for part time in the amount of days she wants. Her station is a full time spot and that is non-negotiable. We want to make sure we follow the proper procedure for giving the 30 day notice in Michigan if she doesn't pay the agreed upon rental payment next week. Since it says served, do we need to file a specific form or can we give a written notice to her with the salon manager as a witness? We don't want to get caught in any legal loopholes and be in a position that she could somehow sue us for improper procedure. She was very belligerent and made a lot of threats when we told her that she cannot just tell us she is changing the payment when she agreed to a specific amount in her contract. We know that paying less automatically puts her in default. Do we cash the check or do we have to wait until after the notice is given? Any help on the proper procedure is appreciated.
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2 ANSWERS

Appellate Attorney serving Grosse Pointe Farms, MI at Musilli Brennan Associates, PLLC
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She is in breach and I would have to read the entire contract to determine the rights and liabilities. Generally, it appears you would be better without her anyway give her previous actions and attitude. Yes, doing it right the first time is cheaper, better and the least aggravation.
Answered on May 13th, 2015 at 12:41 PM

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Business Law Attorney serving Bingham Farms, MI at James T. Weiner, P.C.
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This is a bit of a difficulty..since you work closely together If she pays less give her written notice of breach and an invoice for the full rent AND since the contract allows it the late fee. Wait 7 days and if necessary sue her ... I would cash the partial check and but keep a good accounting of what she owes.. when she partially pays keep giving her invoices for the balance If she gives you a lot of hassle and makes working in the salon uncomfortable you can always give her 30 day notice of termination and completely get her out by re-renting her chair. If she wants to stay.. and you have an extra part time booth.. agree to try to re-rent her booth full time and agree to rent her part time if you can fill the space but she must pay her agreed upon rent until you can re-rent it.
Answered on May 13th, 2015 at 11:42 AM

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