Raffel v. Medallion Kitchens of Minnesota, Inc.

ROVNER, Circuit Judge.

Sometimes in litigation, neither side wins. This is one of those times. The parties dispute the enforceability, in a commercial lease, of a provision granting an $81,648 *1144windfall to the lessor if the lessee fails to pay the rent within thirty days after notice is given of a failure to pay rent timely. We agree with the district court that the provision amounts to a penalty, and that penalties are disfavored under Illinois law. We therefore affirm the district court’s judgment in favor of the lessee regarding that provision. We also affirm the district court’s finding…