Ratings. Guidance. The Right Lawyer.
What are possible consequences for early termination of a business lease for a phone system under WA contract law
Seattle, WA
Viewed 403 times.
Posted about 1 year ago in Debt / Lending Agreements
Flag as objectionable
Business leases:
I own a business with a lease for a phone system that we no longer have a need for. It is the second biggest expense next to my rent and with the state of the market (I own a real estate firm), our agent headcount is down to a minimum so we have no use for most if not all of the phones/services/Internet we were previously using. I have asked the vendors to work with me as I may ultimately determine to close this business and be on to other ventures. Do I have any options here besides to continue to pay them thousands of dollars a month for services I no longer use?
Answers (2)
Thuong-Tri Nguyen
This attorney is licensed in Washington.
Posted about 1 year ago.
Flag as objectionable
Do you have a written agreement with the vendors? Does the agreement have provisions for early termination?
Who is responsible for paying under the agreement? Do you or someone else have a personal responsibility to pay for the services? If the responsible party is a corporation, LLC, or some other business entity without personal liability, and there is no personal responsibility, one option may be to dissolve the business entity. You likely should review your facts and options with an attorney. Without the specific details, anything anyone writes here may not be applicable to your specific situation. 
John Arthur Bender JR
This attorney is licensed in Washington.
Posted about 1 year ago.
Flag as objectionable
It depends who the liable parties are under the lease. From what you have stated the business has the lease, but if you have personally guaranteed the obligation, you will want to work something out with the vendor, or they will come after you personally to pay the debt. If not, you would tender the equipment back to them and allow the business to close. Obviously if you have to defend the obligation you will need a lawyer, so getting a negotiated result with the help of a lawyer would likely be your best option if you have personal liability.
|
