Your Actual Exposure: $0

A $5,000/mo general lease doesn't create $5,000/mo in liability. It creates $0 in total exposure across rent, personal guaranty, restoration, and every other clause your landlord drafted to protect themselves — not you.

Where $0 Comes From

Typical Overcharge Recovery$25,000
Audit Cost$2,500
Net Recovery$22,500
Total Exposure$0

What Most People Miss

The statute of limitations on audit rights. Your lease specifies how long you have to dispute CAM charges. Miss the window and the overcharge becomes permanent — even if you can prove the math was wrong.

Key Risks in This Scenario

  • Audit window is limited — typically 1-2 years after reconciliation statement
  • Landlord may retaliate through lease terms at renewal
  • CAM calculations are complex and landlord-favorable

How to Reduce Your Exposure

  • Calendar audit deadlines for every lease in your portfolio
  • Hire a commercial lease auditor — most work on contingency (30-40% of recovery)

Frequently Asked Questions

How common are CAM overcharges?
Industry studies suggest 50-70% of commercial leases contain CAM calculation errors favoring the landlord. Most are not intentional — they result from complex reconciliation formulas applied inconsistently.
What does a lease audit cost?
Professional commercial lease auditors typically charge on contingency: 30-40% of amounts recovered. If they find nothing, you owe nothing. For a $25,000 recovery, the audit costs $7,500-$10,000.
Can I do a lease audit myself?
You can review the CAM statements yourself, but professional auditors know the calculation methodologies and common error patterns. Professional audits consistently recover more than self-audits.
What happens if a lease audit finds errors?
Present findings to the landlord in writing within the audit window. Most landlords negotiate rather than litigate. Typical resolution: credit against future CAM or lump-sum payment.
How far back can a lease audit go?
Audit rights typically cover 1-3 years of reconciliation statements, per the lease agreement. Some leases include a 'final and binding' provision for statements not challenged within the window.