For the first time to our knowledge a judge has ordered rent relief for a Chicago restaurant. The bankruptcy judge ruled that the “Act of God” clause in the lease gives the restaurant rent relief when it was forced to closed during the the COVID-19 mandatory closings.
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The force majeure clause in the lease of Italian restaurant Giglio’s State Street Tavern eliminated the restaurant’s obligation to pay full rent during the time when the City and State implemented the “stay-at-home order” to deal with the pandemic. (For more info on the force majeure contact clause, see my other Blog on force majeure.)