Did You Know…A Commercial Landlord May Remove and Store Property of a Tenant that has Abandoned the Premises

A commercial landlord may remove and store property of a tenant that has abandoned the premises.

Section 93.002 of the Texas Property Code addresses this issue. A tenant is presumed to have abandoned the premises if goods, equipment or other property, in an amount substantial enough to indicate a probable intent to abandon the premises, is being or has been removed from the premises and the removal is not within the normal course of the tenant’s business. A landlord may remove and store any property of a tenant that remains on premises that are abandoned.

In addition to the landlord’s other rights, the landlord may dispose of the stored property if the tenant does not claim the property within 60 days after the date the property is stored. The landlord shall deliver by certified mail to the tenant at the tenant’s last known address a notice stating that the landlord may dispose of the tenant’s property if the tenant does not claim the property within 60 days after the date the property is stored.

The penalties that a landlord might face for a failure to abide by the requirements of the law are severe. They allow a tenant to recover reasonable attorney’s fees and court costs from the landlord, plus, an amount equal to the sum of the tenant’s actual damages, one month’s rent or $500, whichever is greater. Delinquent rents or other sums for which the tenant is liable to the landlord may be deducted. Furthermore, the tenant may be able to recover possession of the premises or terminate the lease.

This section expressly states that a lease will supersede its provisions in the event of a conflict. A landlord and tenant may freely contract in the lease to waive the notice requirement of the landlord, to reduce the amount of time during which the landlord must store the property, and to provide another amount or method of damages that a tenant would be entitled to if the landlord breaches an obligation to store the tenant’s property. Finally, since this section of the statute does not prohibit the landlord from charging the tenant for the costs the landlord has incurred in storing the tenant’s property, I would also recommend that the lease expressly state that the tenant will be charged for storage fees incurred by the landlord.