Kansas Commercial Lease Agreement

Implied Covenant of Good Faith and Fair Dealing

• In Kansas, both parties must avoid intentionally preventing the other party from fulfilling their obligations under the contract. 
• Neither party should take any action that would damage or harm the other party’s right to receive the benefits agreed upon in the contract.

Statutory Notice Periods

• A Kansas Commercial Lease Agreement can be terminated without penalty or charge when it ends its fixed term. It’s important to note that according to the Consumer Protection Act (CPA), the landlord must notify the tenant of the expiry date between 40 and 80 business days prior to such expiry.
• Tenants can notify landlords in writing or recorded with 20 business days’ notice.

Security Deposits

• Kansas commercial landlords aren’t limited in the amount they can require for a security deposit.
• Kansas has no regulations or requirements that mandate the return of commercial security deposits.
• In Kansas, it’s allowed to mix commercial security deposits with other funds.
• Kansas commercial landlords aren’t required to hold security deposits in interest-bearing accounts or pay tenants interest.

Disclosures

• Before signing a Kansas Commercial Lease Agreement, the landlord must provide the tenant with the names and addresses of the property owner, managing agents, or authorized representatives.
• Kansas landlords may be legally required to disclose information to tenants, such as the presence of lead-based paint in the property or potential natural disaster hazards.

Termination and Renewal

Termination

• The tenant and landlord should record their mutual agreement in a deed of surrender.
• The tenant’s breach of the lease determines the route to vacant possession through the Kansas jurisdiction.
• The tenant or landlord may use a break clause if it’s included in the Kansas Commercial Lease Agreement.

Renewal 

• Review the agreement before renewing a Kansas Commercial Lease Agreement to ensure clarity and understanding.
• Both the tenant and landlord must negotiate the lease renewal terms, such as rental rate, lease term, and any changes to the original agreement.
• When renewing a Commercial Lease Agreement, the rent increase may depend on factors such as inflation and market rates for similar properties.
• The Commercial Lease Agreement renewal should explicitly state the extension period’s length, including the start and end dates.