What can a tenant do to prevent their landlord from renting to competing business?
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What can a tenant do to prevent their landlord from renting to competing business?
My parents own and run a small business convenience/liquor store on gas station property. The landlord who owns the gas station and the property, also owns another property across the street. The laundromat that occupied the 2nd property recently closed down and the landlord is in talks with 7-Eleven to occupy the space. Due to the same nature of the business, this puts my parents business at risk and the landlord is putting my parents in a situation where they will be in direct competition with each other. My parents are projecting that there will be a substantial decrease in sales due to a brand named convenience store. Is there anything my parents can legally do to prevent this?
Asked on September 17, 2015 under Real Estate Law, California
Answers:
SJZ, Member, New York Bar / FreeAdvice Contributing Attorney
Answered 8 years ago | Contributor
No, there is nothing they can legally do to prevent this, unless the lease or some other contract with the landlord specifies that he will not move in the competition. Otherwise, a landlord is free to rent to whomever he/she likes, even if it competes with an existing tenant the landlord has no responsibility, other than providing the rental premises, to his/her tenants.
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