Contracts
A Massachusetts commercial lease that includes a 'percentage rent' clause requires the tenant to pay:
AA fixed base rent regardless of sales volume
BBase rent plus a percentage of the tenant's gross sales above a breakeven threshold✓ Correct
COnly a percentage of their net profit
DRent tied to the Consumer Price Index
Explanation
A percentage rent clause in a Massachusetts commercial lease requires the tenant to pay base rent plus a percentage of their gross sales once sales exceed a specified breakeven point. This aligns the landlord's income with the tenant's business performance and is common in retail leases.
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