The applicant, Textile City Inc., sought relief against forfeiture of a sublease after the respondent, Reliable Logistics, attempted to terminate it, alleging non-permitted retail use and other breaches.
The court found that Textile City Inc. had indeed breached the lease by operating a retail business from the office space, but that Reliable Logistics had not waived its right to forfeiture by accepting rent.
However, the court granted relief against forfeiture, finding that Reliable Logistics had acted in bad faith through a series of actions aimed at forcing Textile City Inc. to vacate, and that Textile City Inc.'s breach was modest and had ceased.
The court also addressed ancillary issues regarding additional rent, garbage bins, and signage.