Problem:
In October 2019, Poon rented from MegaMall (MM) a concession stand to sell luxury chocolates in the atrium of the mall. The monthly rental was $20,000 and the rental period was 24 months. The COVID-19 outbreak in February 2020 resulted in business disruption at the mall. Work-from-home arrangements taken by many employers who had offices in the vicinity of the mall resulted in fewer customers visiting the mall on weekdays. The supermarket (which usually draws in many customers) was closed for 7 days every time an employer tested positive for the virus; such closure took place 6 times over a 6 month period. The last straw was when the Government introduced measures prohibiting dine-in at restaurants after 6pm; the mall was deserted in the evenings. The revenue was a mere 15% of what was projected and was not sufficient to cover the rental. Poon's requests for MM to reduce the rent were rebuffed. In August 2020, Poon decided to call it quits; he took the position that the COVID-19 pandemic rendered the concession agreement no longer binding.
Poon wants the return of his one-month deposit paid to MM at the commencement of the agreement. MM threatens to sue for breach of contract and refuses to return the deposit. Poon seeks your advice.
Advise Poon.