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California

Your Liability Cap Disappears When a Disclosure Statute Applies

A landlord leased two greenhouses it knew contained asbestos and lead paint, said nothing, and repaired storm damage anyway. The county quarantined the property and the orchid grower lost its business. California's Court of Appeal held that neither the indemnity clause nor the waiver of consequential damages could shield a landlord whose negligence came from violating a disclosure statute.

A Condemnation Clause Can't Assign Away the Goodwill You Built

The Infrastructure Investment and Jobs Act put $1.2 trillion behind roads, transit, and now transmission corridors for data centers, and condemnation filings have followed the money. A Los Angeles landlord who tried to claim a restaurant tenant's $6.1 million eminent domain award found out that a clause assigning 'all awards' to the landlord doesn't reach the goodwill the tenant built as a business, and that the fight over who gets what has to happen inside the condemnation case itself or not at all.