Bankruptcy Law Questions? Ask a Bankruptcy Lawyer.
Thank you for giving me the opportunity to assist you. I encourage you to ask me for clarification, if you are not clear with my Answer.
What is CAM?
Thank you for the additional information:
CAM refers to Common Area Maintenance but usually includes the tenant's share of taxes and insurance, all typically paid by tenant in proportion to their share of square feet.
Your Question: In a chapter 11 filing, if a lease with 3 plus years left has been rejected, how do you calculated the claim for lost rent? CAM?
Response: First and foremost, if the Order approving the rejection of the lease does not also terminate the lease, then you should take all necessary steps to terminate the lease. Once the lease is terminated, you can then calculate the claim for lost rent by multiplying the months remaining on the lease by the monthly rent and the tenant's shares of the maintenance expenses.
Here is a good article on rejection of leases and its consequences:
More specifcally, the tenant has closed the business, abandoned the property and sent me the key. The question is do I claim the entire remaining rent for the duration of the lease and possibly CAM in the claim or do I claim what appears to be my legal limit, which I think is one years rent from date of filing? Tenant has paid rent and CAM through the efective date of the rejection (except that portion of the month before the filing which I have already claimed)
Response: You should claim the remaining rent for the duration of the lease including the CAM and see if the claim would be accepted or not.