The Leasing Hotline

The cost of the repair or replacement of a new roof, rather than actual damages suffered by the tenant, is an appropriate measure of damages where the lease between the parties requires the landlord to repair or replace the roof. Samuel v. KTVU Partnership, No. 08-02-00010-CV, Court of Appeals of Texas, Eighth District, El Paso, October 22, 2003.

The landlord, Samuel, and the tenant, KTVU, entered into a 20-year lease for the purpose of KTVU to operate a television studio. Under the terms of the lease, Samuel was required to install a new roof and maintain the roof in good condition. Samuel failed to install and maintain the roof and KTVU filed a lawsuit against Samuel, alleging breach of the lease. After a jury trial, Samuel was found to have breached the lease and awarded KTVU $50,000 in damages because of Samuel's failure to maintain the roof. The jury was instructed to consider the cost of roof repair or a new roof in the calculation of damages. Samuel appealed, seeking a rehearing regarding, inter alia, the jury's measure of damages. He argued that the jury should have measured the damages by the damage actually caused to the tenant's property, eg, the cost of a new computer monitor or the ceiling tiles or the expense incurred for emergency repairs, rather than the cost of roof repairs or a new roof because it does not own or lease the roof. The appellate court affirmed, finding that the court below did not abuse its discretion in its direction to the jury. It considered Samuel's obligation under the lease to maintain, repair or replace the roof as a reasonable measure of damages, even though the only damages actually suffered by the tenant were damages to personal property and the cost of certain emergency repairs. In addition, the court upheld the lower court's finding that the tenant had a right to park on land adjacent to the leased premises that was owned by the landlord.