Legal Question in Landlord & Tenant Law in New Hampshire

Hi and happy holidays! I'm manager of a tattoo shop in NH. The heating system needs to be replaced and the landlord won't pay for it. The shop is going to pay for the new furnace and get a tax deduction for it. The lease says we're responsible for all utilities but there is nothing in the lease about replacing heating or electrical systems if they break. Is it legal for the landlord to demand we pay for the new furnace? Thanks


Asked on 12/15/12, 5:36 am

1 Answer from Attorneys

John Skinner, III Associated Attorneys of New England

You present an interesting question. The first thing you should note, is that commercial leases provide much less in the way of legal protection than residential leases. The law, in a way, presumes that you, as a business owner, are on a more equal footing with your landlord to negotiate.

Therefore, you should negotiate this with your landlord. The lease should have been more specific and it should have governed your respective rights, but since it is silent, the question is open. However, it seems to me a strong argument can be made that the HVAC system is an integral part of the entire building where you only rent space, and that the landlord, it could be argued, is ultimately responsible for the replacement of such items, even if, you as lessee would be charged with any routine maintenance of the same.

When does your lease expire? How good of a deal do you currently enjoy? What is the vacancy rate of the owner's other property's? What other similar spaces are available? How easy is it for you to move your business?

You should consider these questions before deciding what tact to take in your bargaining position. Depending on your answers, your position could be anywhere from- refusing to pay anything, declaring him in beech of the lease, and moving out to new diggs...all the way to offering to replace the entire system 100% at your cost.

I hope this illustrates the benefit to your business in retaining legal counsel. Please check out my websites to schedule an appointment if you need to hire an attorney. We are right in Manchester.

To answer your question- Yes, it is legal for the landlord to demand you pay for the new furnace.

Happy Holidays.

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Answered on 12/17/12, 7:05 am


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