Possible Cease and Desist

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Possible Cease and Desist

We own a hockey pro shop located inside of a NHL owned/sponsored facility. We are on a handshake lease. The problem is that the general manager of the facility is knowingly allowing vendors that we carry to direct sell to people who come in the rink. They are selling below retail, without taxes, and the rink is not charging rent to them. The general manager is part of the group that is direct selling to these customers of ours. I do not know how to proceed

Asked on October 29, 2019 under Business Law, California

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 2 years ago | Contributor

There are no grounds for any legal action, including a cease and desist letter. You write you are on a "handshake"--i.e. an oral--lease. Such a lease does not prevent the landlord from letting other people compete with you in the space. Without a written contract barring them from allowing competition, you have no legal basis to challenge this.


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