(3) Clauses In A Percentage Lease

Question 1

When a percentage lease has no minimum, it’s usually attached to a recapture clause(protection), which allows the lessor to cancel if the lessees business volume falls below an expected minimum

Answer 1

Recapture Clause

Question 2

In which one party (usually the lessor) agrees not to enter or start a business with a similar profession. This s to control exploiting confidential information and tactics about the lessor

Answer 2

Non-Competitive Clause

Question 3

Guessing: where the lessor is allowed to fully check through the lessees sales making sure that nothing is being withheld

Answer 3

Examination of books