What grounds may a landlord reasonably withhold consent to an assignment or sublease?

• A. For any reason.
• B. For non-commercial reasons only.
• C. For commercially reasonable grounds.
• D. Only if the tenant is delinquent in rent.

Answer: (C)

The main idea is that a landlord can’t block an assignment or sublease on a whim; consent can be withheld only for commercially reasonable reasons. That standard reflects a balance: the tenant needs flexibility to manage their business, while the landlord protects the property’s financial and operating interests.

Commercially reasonable grounds cover practical concerns tied to the lease and property—things like the incoming tenant’s financial stability and creditworthiness, whether the proposed use fits with the building’s plan, potential impact on rent reliability, and whether the subtenant’s business could create nuisance or harm the property value. These are legitimate business factors, not personal preferences.

Why the other options don’t fit: allowing the landlord to withhold for any reason would give too much control and invite capricious decisions; limiting consent to non-commercial reasons would ignore genuine business concerns that might affect the property’s value or income; and making consent depend only on rent delinquency ignores other valid commercial grounds that could justify withholding.