We have another great legal issue article contributed to this community blog as a public service by W. Adam Mandelbaum, Esquire, attorney at law who has his law practice at 10 Audrey Avenue, Oyster Bay, Nassau County, New York 11771.  Mr. Mandelbaum can be reached either by call him at (516) 624-0240 or going online at http://justiceneversleeps.net.

Landlord Duty to Mitigate Damages in Residential Lease Shot Down!

For many years, it was clear that a commercial landlord did not have to mitigate damages with respect to a lease --- unless the lease said otherwise.  This meant when a commercial tenant defaulted, the landlord had no duty to try and relet the property, but could sue the defaulting tenant for the total of rents due under the lease term.

Also for many years, it was common in the courts that a residential landlord did have a duty to mitigate damages --- unless the lease said otherwise.  Now, with the Second Department July 1, 2008 decision in Rios v. Carillo, the appellate courts have determined, NO duty to mitigate for a residential landlord, unless the lease says otherwise.

It's good practice for landlords to include a provision in the lease, whether residential or commercial, stating that there is no landlord duty to mitigate, and a defaulting tenant may be held liable for the entire rent for the entire term of the lease.

If you are a landlord with a tenant problem, or need a lease drafted or reviewed, contact Adam Mandelbaum at the above telephone number.