[RPPTL LandTen] Breach of Lease/Damages/Accelerated Rent thruwhat date

Thu Feb 9 08:21:09 PST 2012

Yes, accelerated rent must be reduced to present value.  

If the lease is silent, I use the current WSJ Prime Rate.  So far, I have never had any court or tenant’s counsel challenge this. 

Michael 

Michael L. Grant, Esq.

RICHARD B. WARREN, P.A.

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-----Original Message-----
From: landten-bounces at lists.flabarrpptl.org [mailto:landten-bounces at lists.flabarrpptl.org] On Behalf Of Jeff Mazor 
Sent: Thursday, February 09, 2012 10:42 AM
To: 'RPPTL Landlord Tenant Committee'
Subject: Re: [RPPTL LandTen] Breach of Lease/Damages/Accelerated Rent thruwhat date

Recovery of accelerated rent absolutely must be reduced to present value.

The question is, what discount rate is to apply when the lease does not specify?

The last time I looked, which was years ago, there was no clear statement in the case law.

Time to look again. 

Jeff

Jeffrey R. Mazor, Esq.

J. R. Mazor & Associates, P.A.

Presidential Circle Building

4000 Hollywood Blvd.,  Suite 265-s

Hollywood, FL 33021

Phone: 954-962-3500

Fax:       954-962-3560

Email:   JMazor at Mazor.com <mailto:JMazor at Mazor.com> 

-----Original Message-----

From: landten-bounces at lists.flabarrpptl.org <mailto:landten-bounces at lists.flabarrpptl.org>  [mailto:landten-bounces at lists.flabarrpptl.org] <mailto:[mailto:landten-bounces at lists.flabarrpptl.org]>  On Behalf Of Anthony J. Horky

Sent: Thursday, February 09, 2012 10:16 AM

To: 'RPPTL Landlord Tenant Committee'

Subject: Re: [RPPTL LandTen] Breach of Lease/Damages/Accelerated Rent thru what date

Recovery of accelerated rent is recovery of future economic losses.  I do not have a Florida Supreme Court case directly on point, but I have seen a number of DCA opinions stating that recovery of accelerated rent must be reduced to present day value.  See Vibrant Video, Inc. v. Dixie Pointe Associates, 567 So.2d 1003 (Fla. 3d DCA 1990); NEP Int’l, Inc. v. Falls, 629 So.2d 1019 (Fla. 4th DCA 1993); Florida Standard Jury Instruction 501.7. See, e.g. Braddock v. Seaboard Air Line R.R., 80 So.2d 662, 668 (Fla. 1955)(“…present compensation of future pain is merely one of the subjective elements of the problem, and is not a process of mathematical calculation of preset value, such as must be applied to periodic future pecuniary losses); Quintero-Chadid Corp v, Gersten, 582 So.2d 685,689 (Fla. 3d DCA 1991)(court noted that Vibrant Video held that a landlord’s future monetary losses had to be reduced to present value).  

Regards,

Anthony J. Horky, Esquire

Anthony J. Horky, P.A.

301 Yamato Road, Suite 1240

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From: landten-bounces at lists.flabarrpptl.org <mailto:landten-bounces at lists.flabarrpptl.org>  [mailto:landten-bounces at lists.flabarrpptl.org] <mailto:[mailto:landten-bounces at lists.flabarrpptl.org]>  On Behalf Of Neil B. Shoter

Sent: Thursday, February 09, 2012 9:37 AM

To: 'RPPTL Landlord Tenant Committee'

Subject: Re: [RPPTL LandTen] Breach of Lease/Damages/Accelerated Rent thru what date

While I have not researched this, the question of whether accelerated rents “must” be discounted to present value if such is not stated in the lease arises from time to time, and I understand that judges do discount the amount to PV – BUT, is the discounting accelerated rents to PV a “mandatory” or uniform practice across courts in Florida or only followed in certain jurisdictions??   

This is useful in cases where a landlord refuses to allow mention in the lease of discounting to PV. 

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Neil B. Shoter

Partner / LEED Accredited Professional  

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From: landten-bounces at lists.flabarrpptl.org <mailto:landten-bounces at lists.flabarrpptl.org>  [mailto:landten-bounces at lists.flabarrpptl.org] <mailto:[mailto:landten-bounces at lists.flabarrpptl.org]>  On Behalf Of Manuel Farach

Sent: Wednesday, February 08, 2012 5:43 PM

To: RPPTL Landlord Tenant Committee

Subject: Re: [RPPTL LandTen] Breach of Lease/Damages/Accelerated Rent thru what date

I think the court sets what it believes to be an appropriate present value as applied to each case; I’m not aware of a case that gives a certain percentage.

As to question two, the answer is yes. I’ve filed partial satisfactions of the judgment once payments were made

Good luck!

Manny

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From: landten-bounces at lists.flabarrpptl.org <mailto:landten-bounces at lists.flabarrpptl.org>  [mailto:landten-bounces at lists.flabarrpptl.org] <mailto:[mailto:landten-bounces at lists.flabarrpptl.org]>  On Behalf Of Jeff Mazor

Sent: Wednesday, February 08, 2012 5:29 PM

To: 'RPPTL Landlord Tenant Committee'

Subject: [RPPTL LandTen] Breach of Lease/Damages/Accelerated Rent thru what date

I’ve researched this to death and haven’t found a direct answer. Maybe you can help?

Question One: If not provided for in the Lease, what discount rate do you use to calculate the Present Value of sums that come due under a lease? 

Question Two: IF we sue for damages under an “Original Lease”, we are entitled to a judgment equal to: 

(i)   past due rent, repair expense and other charges; plus,

(ii)  landlord's attorneys' fees and costs; plus, 

(iii) “accelerated balance” due under the lease, less a credit for "the amount received upon reletting the premises", Boulevard Shoppes, A.B. v. Pro-1 Realty, Inc.605 So.2d 1317 (Fla., 4th DCA, 1992), reduced to present value.

Thanks, 

Jeff Mazor

Jeffrey R. Mazor, Esq.

J. R. Mazor & Associates, P.A.

Presidential Circle Building 

4000 Hollywood Blvd.,  Suite 265-s

Hollywood, FL 33021

Phone: 954-962-3500

Fax:       954-962-3560

Email:   JMazor at Mazor.com <mailto:JMazor at Mazor.com> 

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