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Author Archives: Rosemary Weiland

Categories Business Law, Real Estate

What Every Commercial Tenant Should Know Before Signing a Lease in Texas

Author Rosemary Weiland Categories Business Law, Real Estate Posted on

Avoid costly mistakes by understanding the fine print of your lease agreement.

Signing a commercial lease in Texas is a major business decision, and one that can impact your bottom line for years to come. Unlike residential leases, commercial leases in Texas are largely unregulated and highly customizable, which means tenants must be vigilant.

At Saunders, Walsh & Beard, we regularly help business owners navigate complex lease agreements. Here are some of the most important issues every tenant should understand before committing:

  1. Lease Type Matters More Than You Think
    Is it a gross lease, net lease, or triple net (NNN) lease? In NNN leases, which are common in Texas, tenants are often responsible for taxes, insurance, and property maintenance. Understanding the financial structure can help you avoid unexpected costs.
  1. Who’s Responsible for Repairs?
    Many Texas leases shift the burden of HVAC, roof, and even structural repairs onto the tenant. Always clarify responsibilities and consider negotiating a cap on major repair costs.
  1. Renewals and Early Termination
    Watch for automatic renewal clauses and rigid termination terms. If your business outgrows the space or operations stall, these clauses can trap you.
  1. Escalating Rent and CAM Charges
    Leases often include annual rent increases and Common Area Maintenance (CAM) fees. Ask for historic

    What to know before signing a commercial lease.

    al expense reports and consider negotiating audit rights and limits on increases.

  1. Use Restrictions
    A narrow use clause can prevent you from expanding services or subleasing. Request broader language that accommodates your current and future business operations.
  1. Assignment, Subleasing, and Exit Strategy
    Without the right language, landlords can block a transfer or keep you liable after you exit. Protect yourself by negotiating assignment rights and liability releases.
  1. Lockouts and Landlord Remedies
    Texas law permits commercial lockouts if rent isn’t paid. Ensure your lease includes notice and cure periods to avoid abrupt business interruptions.
  1. Personal Guaranties
    If you’re signing on behalf of an LLC or corporation, the landlord may still ask for a personal guaranty. Limit its duration and scope whenever possible.
  1. Dispute Resolution and Venue
    Arbitration clauses and far-away court venues can work against you. Aim for local venue provisions and consider requiring mediation before litigation.
  1. Improvements and Build-Outs
    Know whether you’re allowed to modify the space, and whether you’ll need to remove improvements when you leave. Ask about tenant improvement (TI) allowances upfront.
  1. Insurance and Liability
    Ensure your insurance obligations are reasonable and request a waiver of subrogation to protect against third-party claims.
  1. Force Majeure and Shutdowns
    After COVID-19, many landlords now exclude pandemic-related rent relief. Negotiate protections for future business interruptions.

 

Final Word: Protect Yourself Before You Sign
Texas is a landlord-friendly state. That’s why it’s essential to have a knowledgeable attorney review (and if necessary, negotiate) your lease before signing. At Saunders, Walsh & Beard, we’re here to ensure your lease works for your business, not against it.

Need help with a lease? Contact us today to schedule a consultation with a commercial real estate attorney.

Categories Trusts & Estate Planning, Wills

Advantages of a Trust over a Will in Texas

Author Rosemary Weiland Categories Trusts & Estate Planning, Wills Posted on

Estate Planning Attorney Near Me

When it comes to estate planning in Texas, trusts offer several advantages over wills. Here’s why you might consider using a trust instead of a will:

Avoiding Probate

One of the most significant benefits of a trust is that it allows your heirs to avoid the probate process entirely. This can save them considerable time and money, as they won’t have to wait for approval from the probate court to inherit property. In contrast, a will must go through probate, which can be time-consuming and costly.

Enhanced Privacy

Unlike wills, which become public record once entered into probate, trusts remain private documents. This means that the details of your estate and beneficiaries are not accessible to the public, protecting your family’s privacy.

Flexibility in Asset Distribution

Trusts allow for more sophisticated asset distribution plans. You can specify conditions for asset distribution, such as beneficiaries reaching a certain age or achieving specific milestones. This level of control is typically not possible with a will.

Protection in Case of Incapacity

A trust can offer protection if you become disabled or incapacitated. By designating a trustee, your assets can be managed on your behalf, and your family can access them immediately. Wills generally do not provide this capability.

Reduced Potential for Disputes

Trusts are much more difficult to contest in court compared to wills. This can help avoid expensive and unnecessary fights among beneficiaries, ensuring your wishes are followed after your passing.

Special Needs Planning

If you have an heir with special needs, a trust can be particularly beneficial. It allows you to provide for them without disqualifying them from receiving important government benefits, which could happen if assets were left to them directly through a will.

Control Over Asset Distribution

With a trust, you can maintain control over how and when your assets are distributed. This is particularly useful in situations involving blended families or when you want to ensure responsible management of inherited assets.

While establishing a trust may be more complex and costly upfront than drafting a will, the long-term benefits often outweigh these initial drawbacks. Trusts provide a more flexible, efficient, and private means of managing and distributing your assets after your death, making them an optimal choice for many Texans.

Remember, while trusts offer many advantages, it’s essential to consult with an experienced estate planning attorney to determine the best approach for your specific circumstances and ensure your estate planning documents are properly prepared and legally sound. Mr. Michael A. Weaver, Partner at Saunders, Walsh & Beard, specializes in estate planning law. Call us today to schedule your consultation with Mr. Weaver.