Wilder Companies, Ltd. v. California Pizza Kitchen, Inc.

32 Mass. L. Rptr. 505
CourtMassachusetts Superior Court
DecidedJanuary 22, 2015
DocketNo. SUCV201402089
StatusPublished

This text of 32 Mass. L. Rptr. 505 (Wilder Companies, Ltd. v. California Pizza Kitchen, Inc.) is published on Counsel Stack Legal Research, covering Massachusetts Superior Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Wilder Companies, Ltd. v. California Pizza Kitchen, Inc., 32 Mass. L. Rptr. 505 (Mass. Ct. App. 2015).

Opinion

Gordon, Robert B., J.

This case arises out of the termination of a commercial restaurant lease, and concerns the disputed disposition of certain trade fixtures left in the demised premises by the departing tenant. Plaintiff The Wilder Companies, Ltd., as managing agent of Theatre District, LLC (the “Landlord”) has brought suit against California Pizza Kitchen, Inc. (the ‘Tenant”). Landlord alleges that, at the time Tenant vacated its leased retail space in the Transporta[506]*506tion Building in downtown Boston (the “Premises”), it left behind a substantial volume of trade fixtures that it refused to remove despite Landlord’s request that it do so. These restaurant fixtures are alleged to include a pizza oven, walk-in refrigerator, ice chest, large counters, and restaurant seating booths. Landlord’s Complaint asserts a single claim for breach of contract, founded upon the contention that Tenant violated the parties’ lease (the “Lease”) when it failed to deliver possession of the Premises to Landlord in the condition required by the Lease (viz., removed of unwanted trade fixtures).

Presented for decision is Tenant’s Motion to Dismiss pursuant to Mass.R.Civ.P. 12(b)(6), in which it maintains that Landlord is contractually barred from compelling the removal of installed trade fixtures by its failure to have provided the 60-day written notice of such demand set forth in Section 13.3 of the Lease. Landlord counters that Tenant has misconstrued this provision of the Lease, and that the 60-day notice requirement of Section 13.3 is inapplicable to trade fixtures of the type in issue. At hearing, the parties acknowledged that the viability of Landlord’s contract claim raises a pure question law — to wit, the reasonable meaning to be accorded to the pertinent terms of the Lease — the resolution of which requires no resort to extrinsic evidence outside the four comers of the instrument. Having undertaken a careful review of the Lease agreement, it is the judgment of the Court that the Complaint fails to state a claim upon which relief can be granted. The defendant’s Motion to Dismiss will, therefore, be ALLOWED.

FACTUAL BACKGROUND

Landlord is the owner of certain property in the Theatre District of downtown Boston. In 1999, Landlord and Tenant entered into a written lease agreement, pursuant to which Tenant agreed to rent retail space within this property for the operation of a California Pizza Kitchen restaurant. The term of the Lease expired on May 31, 2014, at which time Tenant was required to vacate and deliver full possession of the Premises to Landlord.

On May 20, 2014, 11 days prior to expiration of the Lease, Landlord transmitted a letter to Tenant via email. In that letter, Landlord made formal demand that Tenant remove its installed trade fixtures from the Premises, and repair any resulting damage on or before May 31, 2014. Landlord cautioned Tenant that failure to remove its trade fixtures within the remaining 11-day window of the Lease’s pendency would subject it to default remedies. Tenant refused to comply-

The rights and obligations of the parties in respect to leasehold fixtures, and more particularly the matter of which party enjoys the right of post-Lease retention of fixtures and which party bears the cost of removing same, are addressed in two provisions of the Lease. These contract provisions must be quoted at length to understand precisely what they mean and how they fit together. The relevant Lease terms read as follows:

Section 13.3

[l]1The Tenant shall not make any alterations, improvements and/or additions to the demised premises . . . without first obtaining, in each instance, the written consent of the Landlord ... [3] Any and all alterations, additions, improvements, and fixtures which may be made or installed by either the Landlord or the Tenant upon the demised premises and which in any manner are attached to the floors, walls or ceilings (including, without limitation, any linoleum or other floor covering of similar character which may be cemented or otherwise adhesively affixed to the floor, and any electrical, plumbing, heating, ventilating, and/or air-conditioning systems and equipment) shall remain upon the demised premises, and at the termination of this lease shall be surrendered with the demised premises as a part thereof without disturbance, molestation or injury; provided, however, that the Landlord shall notify Tenant approximately sixty (60) days prior to the end of the term of the lease whether the Landlord requires the Tenant to remove any or all of such additions, improvements and fixtures from the demised premises, and if the Landlord so elects, then the Tenant shall remove the same upon the termination of this lease (and repair any and all resulting damage) together with its personal properly referred to hereinbelow. [4] However the usual trade fixtures (including all restaurant equipment) and furniture which may be installed in the demised premises prior to or during the term hereof at the cost of the Tenant may be removed by the Tenant from the demised premises upon the termination of this lease if, but only if, the Tenant is not in default hereunder. [5] Further, the Tenant covenants and agrees, at its own cost and expense, to repair any and all damage to the demised premises resulting from or caused by such removal. [6] In no event shall the Tenant be entitled to remove any building components, including, but without limitation, the HVAC system, plumbing system, electrical system (including light fixtures and bulbs) and security gate(s) (if any). [7] The demised premises shall be delivered to Landlord at the expiration or earlier termination of this lease in a broom-clean condition and otherwise in the condition in which the same is to be maintained by Tenant under this lease, and at such expiration or earlier termination any and all property of Tenant shall be deemed abandoned by Tenant and shall become Landlord’s exclusive property or may be disposed of by Landlord, at Landlord’s option and Tenant’s cost and expense, without further notice or demand to Tenant and without any requirement to account for the same to or any other liability to or recourse by Tenant. . .

[507]*507Section 21.18 Holding-Over

Tenant recognizes that the Landlord must arrange for a replacement occupant long in advance of the expiration or earlier termination of the term of this lease, and incident to consummating a new lease for the premises demised hereunder, Landlord may be required to guarantee delivery of possession to the new occupant promptly upon the expiration or earlier termination of this lease. Accordingly, Tenant specifically agrees to remove all of its goods and effects and deliver full possession of the demised premises to Landlord not later than the date of the expiration or earlier termination hereof in order to avoid substantial, and perhaps irreparable, harm to Landlord. Tenant agrees that Landlord shall have all remedies available at law or in equity for Tenant’s failure so to do. Without limiting the foregoing, Tenant shall indemnify and hold Landlord harmless from and against any loss, cost or damage (including, without limitation, reasonable attorney’s fees) arising from Tenant’s failure to comply with its obligations under this Section 21.18.

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Cite This Page — Counsel Stack

Bluebook (online)
32 Mass. L. Rptr. 505, Counsel Stack Legal Research, https://law.counselstack.com/opinion/wilder-companies-ltd-v-california-pizza-kitchen-inc-masssuperct-2015.