Judgments--Commercial Lease

[snoopy85]

My business fell apart over the summer, in which I had to close the doors for good. According to my commercial lease with the property mgmt firm, I am obligated to pay rent for the space until it is re-let to someone else or until the end of the agreement.

I've been fighting with the property firm for quite sometime and now they are threatening to get a judgment against me. I do plan on paying what I am obligated to pay--I understand that I signed a contract and I have to pay the rent. I do have a past due balance.

My question is that since the property mgmt firm is still going to charge me monthly rent until the space is either re-let or until the end of my agreement terms, if they decided to file a judgment against me, wouldn't my obligations to pay any future rents in the lease be terminated? That is once they filed a judgment against me they couldn't come after me for future rent only for the amount that they are suing me for. Say I owe $5,000 and they sue me for $5,000 plus court cost in December, they couldn't come after me and charge me for January and ongoing rent? That is the assumption I am under. It seems like it would be better for me if they got a judgment against me for a fixed amount rather than paying into a money pit until the space is re-let. If I am wrong, please let me know.

I just need a little guidance on this issue. Thank you!

 

[army judge]

The judgment will cover a specific period. It could be through December. If your lease expires in June, 2011; they'd have to bring another lawsuit to go after you for rent from January through March, assuming they rent the property beginning in April.

If the property remains indented through June, 2011, they
could sue for rent through June. You could defend on the
basis of due diligence. The landlord has to make good faith efforts to mitigate his damages for your breach. He can't just sit back and make you pay. He can be made to show you and the court what he's been doing to get another tenant. That would be advertising, using a rental agency, etc...

 

[snoopy85]

My lease is up in Sept of 2012. They claim that they are looking for someone to re-let the space. So if they decided to file the judgment, you're saying that can come back after me after the fact and sue me again?

 

[mightymoose]

As said above, the landlord must make reasonable effort to rent to another tenant.
Saying that they are looking for a tenant and actually making an effort to do so are very different things.
Are there signs up? Are there ads? Are YOU doing anything to try and find a new tenant? These are all things that can minimize the amount you will owe.
No, their filing suit against you will not cut off what you owe as of that moment- it will be up to a judge to decide what is owed.