Question
Marley Industries, Inc. (MII) required a larger warehouse for its facilities.MII located a 10,000 square foot building in New Hampshire an signed a lease with
Marley Industries, Inc. (MII) required a larger warehouse for its facilities.MII located a 10,000 square foot building in New Hampshire an signed a lease with Commercial Properties (CP) for one year with the right to renew for five one-year terms, upon 60 days' notice.After the first renewal, CP sent back a new lease with substantially same terms, except that the new lease had a mandatory arbitration clause that required any tenant to go through arbitration in CP's home state of California.MII signed the lease without objection.One month after taking occupancy, MII complained that the leak in the warehouse roof was allowing water to drip into a corner of the warehouse and that MII had to move its hardware equipment out of the warehouse to protect it from water damage.CP did not fix the leak until one month later, and MII suffered losses because its hardware was partially destroyed by the leak.MII also had additional out-of-pocket losses related to the expense of moving equipment to another location.
- If MII sues CP in a state trial court for the losses it incurred, what would CP's likely defense be?
- Assume that NO arbitration clause exists in the new lease.What are MII's options to obtain money damages if CP refuses to compensate MII for the losses it incurred?List at least 3 options
- Assume that MII files a lawsuit against CP.As part of its case, MII wishes to show that CP had notice of the leak and failed to fix it for one month.What methods of discovery would be useful to obtain this information from CP?List at least 2 methods of discovery.
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