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Thomas McJD
Thomas McJD, Lawyer
Category: Landlord-Tenant
Satisfied Customers: 46
Experience:  Landlord-Tenant Law Expert
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My question is in regards to a Commercial Lease. I just

Customer Question

Hello my name is***** question is in regards ***** ***** Commercial Lease. I just closed a business in Virginia. The term of the lease was for one (1) year. From March 31 2014 – March 31 2015. I didn’t move out of the building until the 1st of May 2015. I gave the owner/property manager a 30 day written notice on the 4th of March. I was in contact with him the entire time and we discussed going month to month. I turned the keys to the building in on the May 2, 2015 to the owner’s wife as he was unable to physically clear the building with me until later in the week.
When I went to clear the building the next week he met me and stated the building was good to go. I asked the owner/property manager when I would receive my $1345.00 deposit back and he requested for me to send him an email with my address and I did. I never heard from the owner/property manager after several attempts (emails and phone calls) I decided to take him to court for my deposit.
Then the owner/property manager sent the below statement to me. Stating that when I stayed in possession of the storefront after 3/31/2015, the Holdover provision of the lease became effective and he also stated he never received the written notice to vacate the storefront. My question is does the hold over apply in this situation.
23. Notices. All notices, demands, statements, and requests required or permitted to be given under this Lease must be in writing and shall be deemed to have been properly given or served as of the date hereinafter specified: (i) on the date of personal service upon the person to whom the notice is addressed, or if such person is not available, the date such notice is left at the address of the person to whom it is directed with a copy sent by email, or (ii) on the date the notice is delivered by the United States Post Office, provided it is sent prepaid, registered or certified or with a certificate of mailing with a copy sent by email, or (iii) on the date the notice is delivered by a courier service (including Federal Express, Express Mail, Emery or similar operation) to the address of the person to whom it is directed, provided it is sent prepaid, with confirmation of receipt requested, or (iv) on the date the notice is delivered via facsimile, provided that a second copy of the notice is simultaneously sent pursuant to one of the other methods permitted by this provision. The initial notice address of each signatory to this Lease is set forth below. Any party may change its address by written notice to all other parties sent pursuant to this Article.
26. Holding Over. If Lessee, with Lessor's consent, remains in possession of the Premises or any part thereof after the expiration of the term hereof, such occupancy shall be a tenancy from month to month at a rate of one hundred twenty five percent (125%) of the Base Rent (plus all Additional Rent) for the first month, one hundred fifty percent (150%) for the second month, one hundred seventy five percent (175%) for the third month and two hundred percent (200%) for the fourth month and thereafter. Furthermore, the holdover tenancy shall remain subject to all the provisions of this Lease pertaining to the obligations of Lessee, but all options and rights of first refusal, if any, granted under the terms of this Lease shall be deemed terminated and be of no further effect during said month to month tenancy.
Thank in advance for your assistance in this matter.
Email-***@******.***
Submitted: 1 year ago.
Category: Landlord-Tenant
Expert:  Infolawyer replied 1 year ago.

what specifically would you like to know?

Customer: replied 1 year ago.
Does the Holdover apply to me ?
Expert:  Infolawyer replied 1 year ago.

You held over beyond the lease as a month to month tenant.

Expert:  Infolawyer replied 1 year ago.

either side may end tenancy on 30 day notice.

Customer: replied 1 year ago.
Ok I did that but is the Holdover applicable because I didnt get my deposit back. Please explain what a holdover is in regards ***** ***** lease.
Expert:  Infolawyer replied 1 year ago.

the deposit should have been returned where there is no rent owing once vacate. if not paying rent, holdover is used.

Customer: replied 1 year ago.
Ok I just want to have a clear understanding of what a holdover is when I go to small claims court. Does it mattter that this was a commercial lease? He is saying that i owe for April, May and june. I gave him 30 day written notice on the 4th of March. However i didnt move out until May 1, 2015. He applied the hold over rate and has me charged with $6023.49.
Expert:  Infolawyer replied 1 year ago.

holdover rate applies when one stays past the lease term and does not give notice during the lease term, as opposed to ending tenancy under lease timely and both sides agreeing to a fixed non holdover rent on month to month basis. If lease has a holdover rate it woudl govern.

Expert:  Infolawyer replied 1 year ago.

let me know if that is clearer and acceptable. Practically, these cases often compromise.

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