Coinmach's washer & dryer contract on multi-units

[Guru Srini]

Hello,

I bought a multi-unit property in August 2012. The ex-owner of the property signed a 5 year leasing contract with Coinmach for washer & dryer which I'm not aware. The contract will end in 2015. I don't want to continue the contract as I didn't sign the contract and no money in it. However Coinmach is claiming that I need to continue the contract and pay them every month otherwise they will go to the court. My questions are

1. How can I discontinue Coinmach's service & don't pay every month?
2. How can get rid-of their washer and dryer from my premise.?
3. Can I file a case in small claim court?

Any help is much appreciated.

[Brian Burke]

Laundry contracts are oftentimes structured as multi-year leases, and it's not unusual for an owner to be paid an up-front fee for the right to lease the laundry room. You are very likely stuck with the laundry lease until it expires, but you should carefully read the contract.

The seller should have disclosed the existence of the laundry lease during your due diligence period. It should also have been a requested item on your purchase agreement. Sometimes the leases are recorded, in which case it would have shown on your preliminary title report. Did you provide the seller with a due diligence item list? If you did, did the request ask for all service contracts? If you asked for them, and your purchase agreement required them, and the seller failed to provide it and even neglected to tell you that it existed, you might have cause to pursue the seller for damages, if you actually have been damaged.