Rent Enforcement - The Return of Normality? [2022]

The problem of commercial rent arrears accrued over the period of the Covid-19 pandemic is well-known. While landlords have mainly been ready to help in sustaining tenants’ businesses by offering rent concessions of one sort or another, government has stepped in to restrict most of the available remedies for recovery of rent arrears. At the same time, the Government’s Code of Practice has emphasised that tenants who are able to pay should do so, but this has not stopped some high-profile tenants from taking advantage of the restrictions to withhold payment, even though well able to meet their obligations.

It was recognised from the outset that this irregular situation would need to be unwound, but it was far from obvious how this could be achieved. The Commercial Rent (Coronavirus) Act is the government’s answer to the puzzle.

The legislation leaves many uncertainties, however, as to the position of multiple-site businesses, enforcement of judgments obtained before the Act came into force, default under agreements reached with landlords, and others.

This session addresses the uncertainties, and gives an overview of what remedies are now available, against whom, when, and for what arrears.

Below are a number of matters that will be covered:

• How to identify Protected Rent Debt
• Enforcement of agreements for payment by instalments
• Options for Unprotected Rent Debt
• The position of guarantors and former tenants
• Options for tenancies not within the scope of the Bill