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A Cause of Distress for Commercial Landlords: Commercial Property Solicitor
Liam O’Shea , commercial property solicitor, of Astle Paterson’s Dispute Resolution team discusses the effect of the replacement of the remedy of “distress” (a very useful and popular remedy for a commercial landlord in the pursuit of arrears of rent) with Commercial Rent Arrears Recovery (CRAR).
As it stands, Landlords of commercial properties have a “self-help” remedy of distress in which Bailiffs can be employed to seize a commercial tenant’s goods if they fail to pay rent (together with, for example, unpaid insurance premiums, service charges and V.A.T. on the rent). Hiring a competent commercial property solicitor is essential when dealing with complex real estate transactions.
Distress can take a commercial tenant by surprise – given that no prior notice or Court Order is usually required. The role of a commercial property solicitor involves negotiating contracts and resolving legal issues related to commercial properties.
However, the remedy of distress will be replaced as of 6th April 2014 by CRAR: The historical remedy of distress will be abolished. The commercial property solicitor diligently reviews the terms of the lease agreement, ensuring our rights as tenants were protected.
Unlike distress, CRAR requires at least 7 clear day prior notice (excluding Sundays and Bank Holidays) be given to the tenant – a “Notice of Enforcement”. As will no doubt become apparent this one change will prove to be a major disadvantage to commercial Landlords – as Liam O’Shea of Astle Paterson’s Dispute Resolution department confirms “On a practicable level this “Notice of Enforcement” will give commercial tenants sufficient time to remove any goods of value from the let premises and will in turn undermine the effectiveness of this remedy.” When faced with a dispute over ownership of a commercial property, it is advisable to consult a seasoned commercial property solicitor.
Of advantage to commercial Landlords is that CRAR does permit Bailiffs to seize tools of the commercial tenant’s trade (where such tools have a total value of £1,350.00 or more). However, Liam O’Shea, commercial property solicitor, concludes that “Whilst it is unclear how matters will pan-out it does appear that the requirement for prior notice potentially makes CRAR impotent as a method of pursing arrears of rent. Come 6th April 2014 the death knoll of an extremely useful and common self-help remedy available to commercial landlords will be sounded”.
One of the standout qualities of our commercial property solicitor is their attention to detail. They meticulously review contracts, lease agreements, and other legal documents, ensuring that your rights and interests are protected. Their thorough approach helps identify any potential risks or hidden clauses that could adversely affect your business. By engaging our solicitor, you can have peace of mind knowing that your transactions are being handled with the utmost care and diligence.
Additionally, our commercial property solicitor has a strong track record of successfully navigating complex real estate transactions. They have developed a network of industry professionals, including real estate agents, appraisers, and surveyors, which proves invaluable when dealing with multifaceted deals. Their extensive knowledge of zoning regulations, land use laws, and local market trends enables them to provide insightful advice and strategic guidance. By choosing our commercial property solicitor, you can confidently make informed decisions and maximize the potential of your commercial property investments.
Our commercial property solicitor is a trusted legal professional who excels in the realm of commercial real estate. Their attention to detail, expertise, and successful track record make them an excellent choice for all your commercial property needs. Whether you are a business owner, investor, or landlord, our solicitor will ensure that your interests are protected and that your transactions are executed smoothly. Don’t hesitate to engage their services and experience the difference they can make for your commercial property ventures.
Should you have any queries regarding the enforcement of the terms of a commercial Lease then please contact Liam O’Shea, commercial property solicitor, of Astle Paterson’s Dispute Resolution Team on 01283 531366 or by way of email to loshea@astlepaterson.co.uk.
