The Hudson’s Bay Company appears to have reached a tentative truce with Cherry Lane Shopping Centre after being threatened with eviction just before Christmas.
The Bay, which is on the hook for nearly $80,000 every month in rent, has filed court documents that suggest it has agreed to pay half of its ongoing rents to the shopping centre and half to a trust account for the courts to sort out later.
In a lawsuit, the Bay claims its landlord has failed to adopt proper pandemic safety measures or to make meaningful upgrades reducing the risk of virus transmission.
Cherry Lane Shopping centre disputes the allegations, saying it meets and often exceeds all government health standards.
In court documents, the mall also counterclaims that the store failed to pay rent for at least nine months, piling up more than $700,000 in back rent and taxes.
The Bay says that if it closes, more than 60 local employees will be laid off in the midst of a sluggish economy.
The case is expected to be back before the court sometime in March or shortly thereafter.
In the meantime, the Bay is expected to continue to pay half of its rent to the shopping centre and the other half in trust to its lawyer until the parties reach an agreement or the court makes an order.
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