Interruption of Services with Rent Abatement Clause
(Commercial Lease) (Pro-Tenant)

Summary

This interruption of services with rent abatement clause may be included in an office, retail, or industrial lease to set forth the circumstances under which the tenant receives a rent abatement following an interruption of services at the leased premises. This template contains practical guidance and drafting notes. Clauses governing the interruption of services and any resulting rent abatement are often highly negotiated by the parties to a commercial lease. If the tenant cannot operate in the premises because of an interruption of services, it should receive an abatement of rent. For its part, the landlord generally seeks to limit the circumstances under which the tenant is entitled to a rent abatement to those under the landlord's control. This clause favors the tenant but contains drafting notes from both the landlord's and the tenant's perspectives. Defined terms used in this clause should be conformed to those used in the relevant lease. For additional rent abatement clauses, see Rent Abatement Clauses (Commercial Lease) (Pro-Landlord) and Rent Abatement Clauses (Commercial Lease) (Pro-Tenant). For a full listing of key content covering real estate transactions for in-house attorneys and junior associates, see In-House Real Estate Resource Kit and Junior Associate Real Estate Resource Kit (Commercial Leasing). For a full listing of key content covering various types of commercial leasing, see Industrial Leasing Resource Kit, Office Leasing Resource Kit, and Retail Leasing Resource Kit. For further guidance on drafting and negotiating rent abatement provisions in a commercial lease, see Industrial Lease Agreements, Office Lease Agreements, and Retail Lease Agreements.