In today’s rollercoaster economy, commercial landlords are becoming more creative in their attempts to hold on to their tenants. The aim is to keep them paying rent, common area maintenance charges and other assessments. In spite of this, the rate of tenant defaults has been increasing. This can involve anything from ceasing to pay rent temporarily or abandoning a leasehold space altogether. See Sean Sposito, “N.J. Commercial Landlords Tack on Incentives To Fill Vacant Space,” The Star Ledger, January 23, 2010. What is a commercial landlord to do with a tenant who either resists efforts to become current or intends to abandon or vacate the premises in order to avoid their legal obligations? Generally, landlords take one of two avenues — they either sue to evict the tenant or sue for money damages (which at the very least usually consists of the prior amounts owed to the landlord that have not been paid and the amounts that become due during the course of the proceedings). In New Jersey, commercial landlords have another possible option — they can also move for a distraint.
What Is a Distraint?
In simple terms, distraint is an inchoate right and interest which a landlord has in the property of a tenant located on the demised premises. Black’s Law Dictionary defines distraint as forcing “(a person, usually a tenant), by the seizure and detention of personal property, to perform an obligation (such as paying overdue rent).”
This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.
To view this content, please continue to their sites.
Not a Lexis Subscriber?
Subscribe Now
Not a Bloomberg Law Subscriber?
Subscribe Now
LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.
For questions call 1-877-256-2472 or contact us at [email protected]
