The tenant (the business occupying the space) who signs a commercial lease agreement is generally expected to be a more savvy, sophisticated, and informed tenant (also known as a lessee) than a tenant in a residential lease, and the law usually does not provide a commercial tenant with the same protections as residential tenant receives.

Because the law does not provide a commercial tenant with many protections, it is up to the commercial tenant to read, understand, and negotiate protections in a proposed lease agreement before signing it, as most every paragraph in a commercial lease agreement can have a significant impact on a business’s operations and financial stability.

Laws vary from state to state, but a commercial landlord’s ability to shut off a tenant’s utilities is usually determined by the terms of the lease agreement and the state’s contract law—to determine, for example, if any breach of the lease agreement by the tenant was a material breach that might justify an extreme measure such as shutting off the utilities.

Contract law in most states recognizes an implied duty of good faith and fair dealing between parties to a contract, and a commercial landlord who shuts off a tenant’s utilities because the tenant is a few days late paying the rent may be in breach of the landlord’s implied duty of good faith and fair dealing.

In Utah, commercial tenants are generally considered more knowledgeable than residential tenants and are expected to negotiate the terms of their lease agreements. Unlike residential leases, commercial leases in Utah do not offer the same level of statutory protection to the tenant. It is crucial for a commercial tenant to thoroughly review and understand the lease agreement, as each clause can significantly affect their business. The lease terms typically dictate a commercial landlord's ability to take actions such as shutting off utilities, and this is influenced by Utah's contract law. While specific remedies and actions depend on the lease and the situation, Utah contract law does recognize an implied duty of good faith and fair dealing in contractual relationships. A commercial landlord who prematurely shuts off utilities without a material breach of the lease by the tenant may be violating this duty. Therefore, it is essential for commercial tenants to negotiate lease terms that protect their interests and for landlords to act in accordance with the lease and the implied duty of good faith and fair dealing.