This office lease clause is a landlord-oriented electricity clause. It provides a considerable profit center for the landlord and picks up most of the characteristics and issues where the lessee agrees that lessor may furnish electricity to lessee on a "submetering" basis or on a "rent inclusion" basis.
Tennessee Profit Maximizing Aggressive Landlord Oriented Electricity Clause refers to a contractual provision commonly found in lease agreements that heavily favors the landlord in regard to electricity usage and billing. This clause is designed to maximize the profits of the landlord while limiting the rights and options of tenants when it comes to electricity consumption. Under this clause, the landlord typically retains complete control over the electricity metering and billing process, often leading to higher costs for tenants. The clause may enable landlords to charge tenants a premium for electricity usage, often at rates that are above market value. Landlords may also have the authority to charge additional fees or penalties for excessive electricity usage or for failing to comply with prescribed energy-saving measures. There are different types or variations of the Tennessee Profit Maximizing Aggressive Landlord Oriented Electricity Clause, including: 1. Flat Rate Clause: This clause establishes a fixed amount for electricity usage that tenants must pay, regardless of actual consumption. This often leads to overcharging, as tenants have no control over their electricity usage or the ability to negotiate rates based on their individual needs. 2. Sub-Metering Clause: This clause allows landlords to install sub-meters in individual units, enabling them to charge tenants directly for their electricity usage. While this may appear fairer, it can still lead to inflated charges if the landlord sets the rates higher than the actual utility rates. 3. Penalty Clause: This clause penalizes tenants who exceed a predetermined electricity usage limit. Landlords may charge hefty fees or increase the rent significantly if tenants surpass the specified limit, putting additional financial strain on tenants and discouraging excessive electricity usage. 4. Non-Negotiable Clause: This type of clause prevents tenants from negotiating alternative arrangements for their electricity supply, such as using renewable energy sources or choosing a different energy provider. The landlord retains control over selecting the electricity supplier, limiting the options available to tenants. It is important for tenants to be aware of the implications of the Tennessee Profit Maximizing Aggressive Landlord Oriented Electricity Clause before entering into a lease agreement. Tenants should carefully review the terms of the clause and understand their rights and obligations regarding electricity usage and billing. Seeking legal advice or negotiating alternative clauses that are more tenant-friendly is advisable to ensure a fair and mutually beneficial lease agreement.
