A Kiosk Order Fulfilled Elsewhere Counts as Half a Gross Sale
Five retail leases filed with the SEC define Gross Sales five different ways, and only two of them use the number to collect percentage rent. DSW's Nashua lease excludes internet and catalog sales unless they ring through the store register, then splits kiosk-ordered, elsewhere-fulfilled sales fifty-fifty, which at 4% over an $8,856,800 breakpoint prices those sales at two cents on the dollar. Dover Saddlery owes no percentage rent at all and still carries a full Gross Sales definition, because the same number decides whether the tenant may walk away for missing $3,500,000 in Lease Year 4, and that definition counts internet orders while forbidding any deduction for internet returns. Intent to Dine's Sunset Boulevard lease sets shutdown rent at 6% of Gross Sales, measured by a definition that reaches orders filled by an affiliate at any other location.