Bhole, Inc. v. Shore Investments, Inc.

JACOBS, Justice:

INTRODUCTION

In a so-called “efficient breach,” a tenant terminated a commercial lease before the end of the lease term. The lease agreement did not contain an acceleration clause. Before the lease term expired, the landlord brought a Superior Court action to recover the entire unpaid rent for the balance of the lease period. We hold that, although the tenant breached the lease, the court erred by not considering that the lease had no acceleration clause. As a consequence, the trial court’s award of contract damages and its award of attorney’s fees, must be reversed and…