Similarly, the Georgian courts apply, in accordance with current Georgian law, a three-part test, defined by the Georgia Court of Appeals in Peterson v.C. Towers, L.P. (206 Ga. App. In finding that an acceleration of the tenancy clause is qualified as enforceable damages and interest instead of an unenforceable penalty, the Georgia decision established that the rent acceleration clause meets the following three conditions: the property interest means that it used at least part of the property rented exclusively, which your friend did not have. So in my book, your friend is not a tenant and is not entitled to the eviction process. However, in December 2014, the Court of Appeal ruled on the enforceable force of a rent acceleration clause in a commercial tenancy agreement in which the lessor came into possession of the denied premises after the tenant failed to pay the rent and abandoned the premises. Landlords/tenants should be aware of this important decision. [i] The Court of Appeal dismissed the tenant`s appeal of Fifty States Management Corp. and found that, despite the recapture of the premises, the lessor could “claim damages pursuant to the acceleration clause after the end of the lease, as soon as the defendants were in default and breached their lease obligations for the maintenance of the property and the payment of rent.” The Court of Appeal also rejected the tenant`s assertion that the acceleration clause constituted an unenforceable sanction. The court found that the acceleration clause was enforceable and not a penalty because the defendants “committed substantial breaches of the tenancy agreement by terminating all rents from February 2008, while abandoning the premises.” In referring to Holy Properties Ltd, L.P.
v. Kenneth Cole Productions, Inc.,[iii], the court also briefly responded to the defendant`s allegation and dismissed the allegation that the lessor was required to mitigate its harm. If the landlord decides to speed up a tenant`s rental, the landlord cannot repossess the apartment for rent until the end of the rental period. Therefore, if the owner chooses to terminate the lease and repossess the property, he cannot require an acceleration of the lease. This was the case in a decision made by Massachusetts in 2007. In Cummings Properties, LLC v. National Communications Corp.