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Q.Is a Commercial Landlord Required to Mitigate Damages If a Tenant Abandons the Lease?

A.Sometimes. The answer depends on whether the lease agreement incorporates the requirements of California Civil Code § 1951.4. This section of the California Civil Code entitles a landlord to recover damages for rental losses due to tenant breach, and shift the burden to the tenant to mitigate damages. For Civil Code § 1951.4 to shift the burden to the tenant, the landlord must notice the tenant and ensure that his or her actions after the tenant's abandonment do not amount to an active or implied waiver of landlord's rights.

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