Contracts
An Arizona commercial lease includes a 'continuous operation clause.' This means the tenant:
AMust continuously occupy the space for the entire term
BMust operate their business continuously during business hours for the lease term, which can be critical for percentage rent leases✓ Correct
CCan operate only during business hours but not 24/7
DCannot sublet the space under any circumstances
Explanation
A continuous operation clause requires the tenant to remain open and operating during normal business hours throughout the lease term—particularly important in shopping centers where the landlord wants stores open to generate foot traffic and percentage rent.
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