News & Analysis as of

Bankruptcy Code Force Majeure Clause

Ward and Smith, P.A.

Bankruptcy Destroyed My Perfect (Landlord-Tenant) Relationship!

Ward and Smith, P.A. on

February brings us Valentine's Day, and we bring you a tale as old as time. Two people meet, maybe online, maybe at a Chamber of Commerce mixer, maybe over lunch arranged by a broker.  They hit it off and commit to a...more

Pillsbury Winthrop Shaw Pittman LLP

Bankruptcy Court Denies Retail Debtor’s State-Law Based Arguments to Avoid Paying Rent During Chapter 11

A recent Chuck E. Cheese decision rejects the debtor’s/tenant’s request to avoid paying rent based upon state law equity arguments. CEC’s leases expressly do not permit rent relief even if force majeure is triggered. ...more

Bowditch & Dewey

Delaying the Inevitable? Pier 1, Chuck E. Cheese, and Rent Abatement in Bankruptcy

Bowditch & Dewey on

The coronavirus pandemic has been particularly cruel to brick-and-mortar retail establishments. As rising infection rates force municipalities to roll back reopening plans, retail and hospitality businesses that rely on...more

Jones Day

Force Majeure Clause Triggered by Pandemic Shutdown Order Partially Relieves Chapter 11 Debtor from Timely Paying Postpetition...

Jones Day on

With their doors closed by mandatory government shutdown orders in effect until most states started gradually reopening in May and June, many businesses have found it difficult or impossible to satisfy their lease obligations...more

Ruder Ware

In re Hitz Restaurant Group: Coronavirus Shutdown Order Excuses Tenant’s Rent

Ruder Ware on

Back in mid-March (which seems much longer than three months ago!), many governors issued stay-at-home orders, silencing the bustle of everyday activity. Restaurants and bars locked their doors, schools moved online, and...more

Akerman LLP

Bankruptcy Courts Continue to Accept Equitable Arguments for Deferring Rent Payments During the COVID-19 Pandemic

Akerman LLP on

Previously we reported on debtors’ appeals to bankruptcy courts’ general equitable powers for assistance in weathering the COVID-19-induced economic storm. ...more

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