The Landlord Will Not Repair Our Commercial Space: What a California Tenant Can Do
Last updated: November 2026. Reviewed by Pavel Kolmogorov, California business litigation attorney (State Bar No. 321018).
A California commercial tenant whose landlord will not make repairs has remedies, but stopping rent is rarely one of them. The lease decides who must repair what. If the duty is the landlord's, the tenant can demand performance, stay and sue for damages, or move out within a reasonable time and claim constructive eviction if the space becomes unusable. A tenant may also terminate when the landlord does not fulfill a repair obligation within a reasonable time after a request. (Civ. Code, § 1932.) Kolmogorov Law, P.C. handles these disputes.
Call (909) 235-6116 or contact us online to discuss a commercial space your landlord will not repair.
Start with the lease, not the statute
A roof leaks for months. An air conditioning system fails every summer. A loading dock floods. In a commercial tenancy, the lease decides who must fix it.
The repair clause says which party is responsible for the roof, the structure, and the building systems. The notice clause says how a repair request must be delivered. The remedies clause may limit rent abatement or give the landlord a cure period.
The Civil Code states a landlord's duty to repair a building intended for the occupation of human beings, absent an agreement to the contrary. (Civ. Code, § 1941.) An early Court of Appeal decision read that section as written for dwellings and held that a factory was outside it. The rule that voids a tenant's waiver of the duty protects a lessee of a dwelling. (Civ. Code, § 1942.1.) This page is about commercial premises only.
Why residential rules do not carry over
Rules written for housing do not automatically apply to a store, an office, or a warehouse.
The statute that lets a tenant defend an eviction by proving a breach of the warranty of habitability applies to residential premises. (Code Civ. Proc., § 1174.2, subd. (a).) The Court of Appeal has refused to extend that warranty to commercial leases, as our page on commercial evictions explains.
Repair and deduct deserves the same caution. The statute lets a tenant fix dilapidations that make premises untenantable and deduct the cost, up to one month's rent and no more than twice in 12 months, after notice and a reasonable time. (Civ. Code, § 1942, subd. (a).) It covers only repairs the landlord ought to make, so it depends on the section 1941 duty, which the early decision above confined to dwellings. Treat the remedy as unavailable for commercial premises. Do not deduct repair costs from rent unless the lease allows it.
Staying and suing for damages
Every lease carries an implied covenant of quiet enjoyment unless its language says otherwise. The landlord promises not to interfere, by act or omission, with the tenant's use of the premises for the purposes the lease contemplates. The Civil Code states a related duty to secure the tenant's quiet possession. (Civ. Code, § 1927.)
A tenant does not have to leave to enforce that promise. The Court of Appeal has confirmed that a tenant may stand on the lease, remain in possession, and sue for breach of contract damages. Because the claim is contractual, punitive damages are not available on it. (Ginsberg v. Gamson (2012) 205 Cal.App.4th 873.)
Damages can include the cost of repairs the tenant had to make and business the tenant lost. Our page on lost profits explains the proof.
Moving out: constructive eviction
When the landlord's failure makes the space substantially unusable, the tenant may treat itself as evicted. In a case about a service station, the Court of Appeal said a landlord's failure to repair or replace an essential structure can breach the covenant if it substantially affects the tenant's beneficial enjoyment. The tenant may then surrender possession within a reasonable time, and rent stops accruing from the surrender. A tenant who waits too long is deemed to have given up the right to leave. What counts as a reasonable time is a question of fact. (Petroleum Collections Inc. v. Swords (1975) 48 Cal.App.3d 841, 847-848.)
The tenant in that case stayed almost 11 months. It owed rent for the whole period.
By statute, a tenant may terminate before the end of the term when the landlord does not, within a reasonable time after request, fulfill its obligations as to repairing. (Civ. Code, § 1932, subd. 1.) The statute speaks of the landlord's obligations "if any," which sends the reader back to the lease.
This remedy is a bet. If a court later decides the conditions were not serious enough, or the repair was the tenant's job, the tenant has abandoned a lease. Our page on breaking a commercial lease early describes what it then owes.
Why withholding rent is the wrong first move
Withheld rent invites a three-day notice, and the unlawful detainer case that follows is fast. A commercial tenant generally cannot defend that case by proving the landlord broke its repair covenant. The tenant's claim belongs in a separate damages action, unless the lease makes rent conditional on the landlord's performance. Paying under a written reservation of rights avoids a nonpayment default while the damages claim is built.
What to do this week
- Send a written repair demand as the lease's notice clause requires, and set a date.
- Photograph each condition and keep a log of dates, closures, and losses.
- Get a contractor's written opinion on the cause and the cost.
- Report damage to inventory or equipment to your property insurer, and see our page on business interruption claims.
- Do not make major repairs yourself unless the lease allows it or the landlord agrees in writing.
If you are the landlord
Check the repair clause before answering, then answer in writing. If the item is yours, send a dated work plan. Delay creates two exposures: damages while the tenant stays, and loss of the lease if the tenant leaves. If the item is the tenant's, say so and cite the clause.
What to bring to the first meeting
- The lease and every amendment.
- Every repair request and every response, with dates.
- Photos, contractor reports, and estimates.
- Records of closures, damaged goods, and lost sales.
- A current rent ledger.
Frequently asked questions
The roof has leaked for six months and the landlord does nothing. Can we stop paying rent or move out?
Stopping rent is the riskier choice. In California a commercial tenant generally cannot defend a nonpayment eviction by proving the landlord failed to repair. Moving out is possible if the leak makes the space substantially unusable and the roof is the landlord's duty under the lease. You must leave within a reasonable time and be ready to prove the conditions. A tenant may instead pay under protest and sue for damages.
What is constructive eviction in a commercial lease?
It is a landlord's act or omission that so interferes with the tenant's use of the premises that the tenant is justified in leaving. California courts have applied the doctrine to commercial leases where the landlord failed to repair or replace something essential to the business. The tenant must surrender the space within a reasonable time. Rent stops accruing on surrender, not before.
Can a commercial tenant repair and deduct in California?
Do not rely on it. Civil Code section 1942 lets a tenant repair conditions that make premises untenantable and deduct up to one month's rent, no more than twice in 12 months. The remedy depends on the landlord's duty under section 1941, and an early California Court of Appeal decision held that a factory was not a building that section covers. A commercial tenant should deduct repair costs only if the lease allows it.
Our lease says the landlord maintains the roof and HVAC, but it has ignored our requests. Can we sue and stay in the space?
Yes. A California tenant whose landlord interferes with its use of the premises may stay in possession, keep paying rent, and sue for breach of the lease and of the implied covenant of quiet enjoyment. The Court of Appeal has described that claim as one in contract, so the recovery is contract damages, not punitive damages. (Ginsberg v. Gamson (2012) 205 Cal.App.4th 873.)
Does the warranty of habitability apply to commercial leases?
Generally not. The California Court of Appeal has declined to extend the implied warranty of habitability, and the eviction defense built on it, to commercial leases. The statute that lets a tenant raise habitability in an unlawful detainer case refers to residential premises. (Code Civ. Proc., § 1174.2.) A commercial tenant's protection comes from the lease and from the covenant of quiet enjoyment.
Talk to a California commercial lease litigation attorney
If your landlord will not repair the premises, or a tenant is threatening to leave over repairs, call (909) 235-6116 or contact us online. Kolmogorov Law, P.C. represents landlords and tenants of commercial property from its office in Irvine, California.
Related reading: our real estate litigation practice and the commercial lease disputes guide.
This page provides general information about California law and is not legal advice. Outcomes depend on the lease, the condition of the premises, the facts, and the court.