Hamlin on Development Clauses

Richard Hamlin of the Hamlin Cody Law Firm comments on yesterday’s post on the perils of development clauses.

Richard Hamlin, Hamlin Cody Law

By Richard Hamlin, rhamlin@hamlinlaw.com

For the development clause, require objective evidence. That is, no take down without a permit for plans that show the board cannot remain. Even then, if the take down is solely due to a government condition, it may protect your right to compensation.

California has a specific statute. In states without a similar statute, there is a decent argument that a government-required take down will trigger a right to compensation. It may require an expensive court fight to protect that right, so pick a worthwhile location with good facts if you want to go that route.

Finally, negotiate the right to relocate elsewhere on the property. Depending on location and the nature of project, include the right to incorporate a new sign in the construction.

Experienced billboard counsel can do far more than follow instructions. There’s more to drafting a lease than “just language.” An attorney who combines experience, a knowledge of the law and a pragmatic imagination will add considerable value to your result.

We also recommend excluding from the clause sales to an entity with the power of eminent domain. That will preserve your right to compensation.

[wpforms id=”9787″]


Paid Advertisement

Print Friendly, PDF & Email

Comments are closed.