Court Hold That a Parties Rental

Court Holds That a Parties’ Rental Agreement Provided for Forfeiture of the Premises Based on any Breach by the Tenant, Regardless of the Materiality of the Breach

In Boston LLC v. Juarez, a court terminated a lease based on an immaterial breach by the tenant. In Boston, defendant entered into a rental agreement with the plaintiff. That agreement required the tenant to obtain and pay for renters’ insurance. He failed to do so. The agreement provided that “Any failure of compliance or performance by Renter shall all Owner to forfeit this Agreement and terminate Renter’s right to possession.” Relying on that provision, plaintiff filed an unlawful detainer action. Defendant opposed that lawsuit on the basis that the failure to purchase insurance was not a material term. The trial court found in favor of plaintiff finding that the forfeiture clause rendered all breaches of the Agreement material. The appellate division of the Superior Court affirmed holding that the forfeiture clause compelled judgment in favor of the plaintiff. The court held that under the lease, evidence concerning the materiality of the breach was irrelevant.