A business that leases real estate and improvements (buildings, etc.) in the form of space for offices, a warehouse, a restaurant, a nail or hair salon, a clothing store, a coffee shop, or other commercial (nonresidential) space will usually be required to sign a written contract known as a commercial lease agreement.
If the tenant (the business occupying the space) who signs a commercial lease agreement fails to pay the rent or continues to use the leased premises for a purpose other than as permitted by the lease agreement (after receiving notice of the improper use), the landlord may have the right to terminate the lease and lock the commercial tenant out of the space by changing the locks.
A commercial landlord’s ability to lock a commercial tenant out of the leased premises—sometimes referred to as one of the landlord’s self-help options or remedies because the landlord may be able to exercise these rights without going to court—depends on the specific language in the written lease agreement and the state's contract law.
For example, a state's contract law may determine if any breach of the lease agreement by the tenant was a material breach that might justify an extreme measure such as changing the locks.
Contract law in most states recognizes an implied duty of good faith and fair dealing between parties to a contract, and a commercial landlord who changes the locks on the leased premises because the tenant is a few days late paying the rent may be in breach of the landlord’s implied duty of good faith and fair dealing.
In Kansas, a business that leases commercial space such as offices, warehouses, or retail stores will enter into a commercial lease agreement. This contract outlines the terms and conditions of the lease, including the use of the premises and the payment of rent. If a tenant fails to comply with the lease terms, such as not paying rent or misusing the property, the landlord may have the right to terminate the lease. In Kansas, the landlord's right to lock out a tenant for breach of the lease, known as a self-help remedy, is governed by the specific language of the lease agreement and state contract law. Kansas contract law includes an implied duty of good faith and fair dealing in all contracts, which means that a landlord must exercise lockout rights reasonably and not in a manner that breaches this duty. For instance, locking out a tenant for a minor or brief lapse in rent payment without proper notice or opportunity to cure may be seen as acting in bad faith. It is important for both landlords and tenants to understand their rights and obligations under the lease agreement and Kansas law to avoid potential legal disputes.