Harold G Walker’s Commercial Solicitors explain the options available to Landlords attempting to recover outstanding rent on a commercial premises.
If a commercial tenant does not pay the rent by the due date, there are several remedies available to the landlord. One option is to use the Commercial Rent Arrears Recovery System. This means the landlord does not need to waste time and money obtaining a Court Order. Instead, he can instruct a certified bailiff to enter the premises. The bailiff will aim to recover goods that can then be sold to recover the rent. It is a very quick process and, in some circumstances, can be implemented within days. However, certain rules apply to the type of lease that must be in place before a landlord can use this remedy.
Another option is for a Landlord to obtain a Court Order. Subsequently, they can utilize the powers of the High Court to seize assets from the defaulting tenant. These assets can be seized from any premises that the business trades from or the registered office address. So, for example, if the home address is the registered office address for a sole trader or a partnership, then items can be recovered from the home address.
Of course, the Landlord may need to recover not only rent arrears but also the property itself. Our Commercial Team can advise you as to the most efficient and cost-effective way to do so. For this and any other advice regarding the sale or acquisition of commercial property, contact Simon Nethercott. With over 35 years of experience in this area of law, he will be able to help you avoid the many pitfalls associated with commercial property. These pitfalls can be very costly, particularly when setting up a new business.
For further information please contact our Commercial team.