Exclusivity clause in a commercial lease in Quebec | ScriptaLegal
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Frequently asked questions > Commercial lease > The rights and obligations of each > Can a tenant negotiate an exclusivity clause in a commercial lease?

Can a tenant negotiate an exclusivity clause in a commercial lease?

Yes. A commercial tenant can negotiate with the landlord an exclusivity clause in the lease to limit certain competing activities in the building or in the real estate complex covered by the lease.

Such a clause may, in particular, stipulate that the lessor undertakes not to lease other premises to a company carrying out an identical activity or one determined to be in competition with that of the lessee.

The scope of exclusivity depends on the wording of the lease. It is therefore important to clearly define the activities covered, the premises or buildings to which the restriction applies, and the duration of the exclusivity.

The clause may also provide for certain exceptions, in particular for activities already carried out by other tenants or for certain ancillary activities which do not constitute the main activity of a business.

A tenant wishing to benefit from exclusivity should therefore ensure that it is expressly and sufficiently precisely provided for in the lease rather than assuming that the landlord will not be able to rent other premises to a competitor.

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