Richard Barton Enterprises v. Tsern
Utah Supreme Court
928 P.2d 368 (1996)
Barton (plaintiff) leased a commercial building from Tsern (defendant) under a lease requiring Tsern to fix a leaky roof and restore a freight elevator. Tsern made only limited elevator repairs over several months, and the elevator was sometimes completely out of service; after a city inspector shut it down for safety violations, Tsern refused to spend more on repairs. The parties disagreed about rent abatement without reaching agreement, Barton paid only partial rent, and sued for a declaration that Tsern was obligated to repair the elevator; Tsern counterclaimed for full rent or eviction. The trial court ruled for Barton, ordered Tsern to pay repair costs, and set an abatement amount; Tsern appealed the abatement ruling, and Barton cross-appealed the amount.
Whether, under Utah law, a lessee is entitled to abate rent to the extent that a lessor's failure to perform a covenant that was a significant inducement to the lease reduces the value of the premises.