Landlord Sues Toys “R” Us Canada for Unpaid Rent
Toys “R” Us Canada is entangled in a new legal dispute with its landlord, RioCan Holdings Inc. The lawsuit emerges from allegations of unpaid rent for a retail space located at the Lawrence Allen Centre in Toronto.
Details of the Lawsuit
According to court documents, RioCan holds that Toys “R” Us Canada failed to remit last month’s rent. The landlord asserts that it formally terminated the lease on January 20 after providing warnings about outstanding payments. The court filing demands Toys “R” Us Canada pay approximately $4 million, which includes:
- A missed January rent payment of around $43,000
- Additional obligations specified in the lease agreement
Previous Financial Struggles
The lawsuit is not an isolated incident. Recent reports indicate that Toys “R” Us Canada has been shuttering numerous stores and has faced at least seven lawsuits in the past year. Collectively, landlords claim the retailer owes them over $31.3 million in unpaid rent and damages. As of now, these claims remain untested in court.
Company’s Response
Toys “R” Us Canada has yet to file a statement of defense in connection with all the pending lawsuits. In any cases where the company has responded, it has typically denied the suppliers’ allegations and questioned the amounts they are demanding.
The Current Status
The Lawrence Allen Centre’s official website no longer lists Toys “R” Us Canada as a tenant. Both the retailer and RioCan’s representatives did not provide comments when approached for this article.
This ongoing legal situation encapsulates the significant financial challenges faced by Toys “R” Us Canada as it navigates a turbulent retail environment.
