Stibbs & Co., P.C.

Commercial leases are among the most consequential contracts a business owner will sign. These five terms can have serious implications for your business:

Personal Guarantee Clauses: If your business can’t pay, the landlord may be able to pursue your personal assets.

Vague Maintenance and Repair Responsibilities: Ambiguous repair obligations often favor the landlord. If responsibilities aren’t clearly defined, you could be liable for unexpected costs.

Automatic Renewal Clauses: Some leases automatically renew for another full term if written notice isn’t provided 6 to 12 months before expiration. Missing that deadline could bind your business to years of additional tenancy.

Unrestricted Rent Escalation: Without a cap, rent tied to CPI or other escalation provisions can increase significantly over time. What looks affordable today may not be in year three.

Landlord’s Right to Relocate or Terminate: Some leases allow the landlord to relocate your business or terminate the lease early for redevelopment. This can be a significant risk if your location drives foot traffic.

The fine print matters. Our attorneys help businesses review and negotiate commercial leases before they become a liability.

(Disclaimer: This post is for informational purposes only and does not constitute legal advice. For advice specific to your situation, please consult with a licensed attorney.)

We are excited to announce that Stibbs & Co. has been named a Tier 1 firm in Houston for Employment Law, Labor Law, and Litigation — Labor and Employment in the 2026 edition of Best Law Firms®.

https://www.bestlawfirms.com/

Happy 4-year anniversary, Jeff Wendt! 🎉

We appreciate your hard work, great counsel, and meaningful impact.

Thank you for four wonderful years, Jeff. Here's to many more!