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recapture clause - a term sometimes found in commercial leases allowing the landlord to retake possession of the leased premises if the tenant fails to meet financial projections that are part of a percentage lease. For example, if Abel leases a store to Baker on a percentage lease with a rental amount based on gross sales of $10,000/month or more, and Baker's store did only $3,000/month in business, the landlord would be able to terminate the lease under a recapture clause.
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