Force majeure clauses rarely excuse rent or CAM payments, so even when services are curtailed, tenants may pay full charges unless the clause explicitly addresses it.
A force majeure clause excuses one or both parties from performing lease obligations when extraordinary events beyond their control occur, such as natural disasters, pandemics, wars, or government actions. The clause defines which events qualify, how notice must be given, and which obligations are suspended versus excused entirely.
Force majeure events can dramatically affect CAM charges in both directions. During a pandemic or natural disaster, operating expenses may spike (emergency cleaning, security) or plummet (reduced services in an empty building). Tenants need to understand whether they are still obligated to pay full CAM during a force majeure event and whether the landlord's maintenance obligations are also suspended.
“Neither party shall be in default for any delay or failure to perform its obligations (other than the payment of Rent) when such delay or failure results from causes beyond the reasonable control of such party, including but not limited to acts of God, natural disasters, epidemics, government orders, labor disputes, or civil disturbances. The affected party shall give prompt written notice to the other party and shall use commercially reasonable efforts to mitigate the impact. The excused period shall not exceed one hundred eighty (180) days. Force majeure shall not excuse Tenant's obligation to pay Rent or Landlord's obligation to maintain insurance coverage.”
This is illustrative language only. Your actual lease language controls your rights.
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90%+
An estimated 90%+ of commercial leases signed after 2020 include updated force majeure provisions that address pandemics [industry estimate]
Source: Commercial Real Estate Legal Surveys (2024)
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Go to lextract.ioThis page provides general educational information. It is not legal advice and may not reflect the most current law in your state. Consult a licensed attorney for advice specific to your situation.
