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Commercial Landlords | My Tenant has not paid any rent. Can I evict them?

Litigation

At the moment as a result of legislation brought into place following the Coronavirus Pandemic a Commercial Landlord is unable to take any steps in order to evict a Tenant for non-payment of rent until the 25th of March 2022. Many Tenants have taken advantage of the Coronavirus legislation in order not to make payment of the rent.

The Government are seeking to ring-fence rent debts built up by businesses during the Pandemic. A Code of Practice has been published which provides guidance to Landlords and Tenants in seeking to negotiate terms for the payment of the outstanding rent and in order to resolve disputes. The Government’s Code of Practice will result in a formal arbitration scheme being introduced. If the parties are unable to agree for terms of repayment of the rent arrears, the binding arbitration process will come into play.

In essence the steps will involve the following:
  • A Letter of Notification by the Landlord or Tenant notifying the other party that their intention to pursue binding arbitration.  You must submit a proposal for settlement of the arrears.
  • The other party may respond and can either accept the proposal or make a counter proposal.
  • If no agreement is reached either party can make an application for the appointment of an Arbitrator and pay the relevant fee.
  • The other party will then have 14 days to submit their own proposal. The Arbitrator can request further evidence from either party.
  • Both parties will be given a choice of a public hearing, alternatively the Arbitrator will base his decision on the documentation provided.
  • After a hearing, or after considering documentation the Arbitrator will make his award which will be binding.

Should you have any queries concerning this please contact Kally Singh.

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