Commercial Lease Evictions – Estimates In Rent Demand Notices Must Be Clearly Identified

Commercial Landlords serving Notices to Pay or Quit on their commercial tenants that include portions of rent or payment demanded based on estimated numbers (i.e., property tax or CAM charges) must clearly identify those figures as “ESTIMATES.” Failure to do so may subject your notice to heightened judicial scrutiny at trial and risk losing a judgment to the tenant.

Cal. Civ. Code § 1161.1(a) states in pertinent part: “If the amount stated in the notice provided to the tenant pursuant to subdivision (2) of Section 1161 is clearly identified by the notice as an estimate and the amount claimed is not in fact correct, but it is determined upon the trial or other judicial determination that rent was owing, and the amount claimed in the notice was reasonably estimated, the tenant shall be subject to judgment for possession and the actual amount of rent and other sums found to be due.” Thus, any figure included in the Notice and Demand to Pay Rent or Quit that is an estimate must be clearly identified in the notice as an estimate. See also WDT-Winchester v. Nilsson, (1994) 27 Cal. App.4th 516, 526.

Under well settled California law, unlawful detainer statutes are to be strictly construed and relief not statutorily authorized may not be given due to the summary nature of the proceedings. See WDT supra at 526. In other words, if a landlord fails to comply with the notice provisions, for example, judgment may be given to the tenant on those technical grounds alone.

Commercial landlords who invoke the summary procedures of unlawful detainer must strictly comply with the notice requirements of the statute under which he/she elects to proceed.

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