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Twitter evicted from office amid lawsuits over unpaid rent and cleaning bills

 1 year ago
source link: https://arstechnica.com/tech-policy/2023/06/judge-ruled-twitter-must-be-evicted-from-colorado-office-over-unpaid-rent/
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Twitter eviction —

Twitter evicted from office amid lawsuits over unpaid rent and cleaning bills

Twitter evicted in Boulder, Colo., still faces unpaid-rent suit at HQ in California.

Jon Brodkin - 6/15/2023, 8:28 PM

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Getty Images | Peter Dazeley

A judge in Colorado recently authorized law enforcement to evict Twitter from an office building in Boulder, according to news reports. The ruling came after the Elon Musk-owned company was sued by the building's landlord over unpaid rent.

"A judge for Boulder County's district court permitted law enforcement to evict the tenant on May 31, directing the tech giant to evacuate its suites at 3401 Bluff St. in Boulder and return them to the owner and landlord, Lot 2 SBO LLC," The Denver Post wrote yesterday.

This isn't even the only Boulder building where Twitter apparently failed to pay bills. At the other building on 1301 Walnut St., Twitter is reportedly facing demands for unpaid rent and unpaid cleaning bills.

Separately, Twitter stopped paying rent of over $3 million a month at its US headquarters building in San Francisco, according to a lawsuit filed in January. The case is still pending. Twitter was also sued for nonpayment of rent at another San Francisco building and at its UK headquarters. Twitter faces numerous other lawsuits from vendors that say Twitter hasn't paid various types of bills since Musk bought the company in October.

Twitter used to have 300 employees at the Bluff St. building, where it had signed a lease in 2020, but many of them were laid off or resigned after Musk bought the company, the Denver Business Journal wrote Tuesday. Twitter had employees in Boulder since a 2014 acquisition of tech company Gnip.

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Landlord’s lawsuit

The Bluff St. landlord sued Twitter in May. Lot 2 SBO's lawsuit sought possession of the building and "past-due rent, attorneys' fees and costs, and both pre-judgment and post-judgment interest," the Denver Post wrote.

According to the Denver Business Journal, the lawsuit "alleges that Twitter set up a letter of credit for $968,000 that the landlord could draw upon if the company failed to pay its rent, and the lease agreement said Twitter must replenish that letter of credit within 10 days if that were to happen." Prior to the lawsuit's filing, Lot 2 SBO drew from the letter of credit to cover the unpaid rent, and Twitter reportedly did not replenish the funds.

"Court documents say the landlord served Twitter with a 'demand for compliance or possession' in April, meaning that Twitter needed to return possession of the property back to the landlord, or replenish the letter of credit within three days. Twitter did neither of those things, according to the complaint, and so the landlord has proceeded with terminating Twitter's rights to the property," the Denver Business Journal wrote.

The Boulder County judge on May 31 issued a writ of restitution ordering the sheriff to evict Twitter, the Business Journal article said. Evictions are usually carried out within two weeks of a writ of restitution being issued, according to the Boulder County Sheriff's Office.

At the other Boulder building on Walnut St., Twitter was sued last month by Avalanche Commercial Cleaning over $93,504 in allegedly unpaid bills for three months' worth of cleaning, the Denver Post reported on May 22. "In December, the landlord posted an eviction notice on the door of 1301 Walnut St. and accused Twitter of owing it $179,000 in back rent," the article said.


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