Following a prior partial judgment concerning interpretation of a commercial lease, the court addressed the landlord’s accounting for additional rent allegedly representing property management and maintenance expenses.
The lease did not permit standardized management or administrative fees, and the landlord bore the onus of proving reasonable and proper expenses actually incurred.
The court found the landlord’s records unreliable and insufficient, noting undated documents, inconsistent time sheets, duplicated entries, and indications that records were retrospectively created.
Because the landlord failed to demonstrate that the claimed work was performed or that the charges reflected commercially reasonable costs, most management-related claims were disallowed.
The court concluded the tenant had overpaid additional rent over four years and ordered a refund of $128,712.31, with costs submissions to follow.