California  |  Business Law

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12/06/09, 5:31 pm

Legal Question


Hi,

I own a desserts cafe in a shopping plaza in San Jose, California. We have been there for 6 years and last year our neighbor who owns a real estate company moved out. The landlord then rented the vacant unit to a frozen yogurt shop. The yogurt shop has an extremely negative effect on our business since yogurt is a type of dessert. Our sales have dropped about 25% since the yogourt shop opened. Is there grounds for legal action against the landlord for damages I inccured due to the yogurt shop being next door? I find it unjust that we have to suffer while the landlord collects rent payments from the yogurt shop.

I looked into my lease agreeement and I noticed that we were not allowed to operate primarily as a yogurt shop since there is already a yogurt shop in the plaza already (it is on the opposite side of the plaza). I find it contradictory that the landloard allowed another yogurt shop in when we were not allowed to sell yogurt.

Thank you in advance for your advice.

Hayden


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