non payment of rent

[k brown]

Hi all I have a commercial tenant refusing to pay rent he is approaching 3 months arrears he is actually still trading with stock in shop and admitted hes going to continue not paying .can I have bailiffs sieze/ list goods in Liu of rent during this covid period or has the law changed ?

[Huntsman]

No. At one point during lock down this remedy was available if the there was 90 days rent outstanding. I advised my client to do so, and enforcement agents attended and we were able to recover the full quarters rent. The government has recently amended this so that CRAR is unavailable unless there is 189 days rent outstanding. What type of business is your tenant in ?

[k brown]

marine aquatic so fish tanks expensive commercial filtration system and usual pumps and accessories for retail

[k brown]

ps I must add on his tenancy which is a 12 month minimum term with a 1 month notice which can be given by either side after the initial 12 month .. also he did give me verbal notice in February but has not moved out after receiving the 10k from the gov but did reconfirm in april he would bemoving out after lockdown though I expect he won't be in any rush

[Huntsman]

If the lease is contracted outside the Act, then you may be able to give 1 month notice. However, if the lease is inside the Act then you'll need to give notice under the Landlord and Tenant Act 1954, which is significantly more complicated and your tenant may be entitled to compensation at 1 x the rate able value. One would assume your contract requires written notice. For such short leases you should always contract outside the Act.

[k brown]

how do I know if its contracted in or out the act? should it have been written In my simple terms ?

[k brown]

also when re he confirmed he was leaving in april this was via text

[flyingfreehold]

your only lawful option as far as i know is a money claim judgement against the tenant. People do not like having a CCJ. Once you issue the plaint the tenant will typically approach you to pay something now and agree some instalment scheme for the balance

[Huntsman]

k brown for a lease to be contracted outside the Act, there would be a declaration sworn by the tenant independently or a statutory declaration before a solicitor annex to the agreement, with wording that makes reference to this in the agreement. I do not think a text would override a contractual clause to give "written notice".

flyingfreehold yes, that is an option. But how much time and expense would that take ?

I suppose the government will not extend the moratorium beyond September and forfeiture would be a good option.

[darkstar]

As stated above your best option is a court judgement and then bailiffs to recover your funds. On the face of it, i would imagine your tenant has security of tenure so it may be in your interest if he did leave voluntarily. It could be a serious pain for you to get him out if he digs his heels in. You have to show who wears the trousers or he will take the Micheal

[flyingfreehold]

Michael surely, not Micheal

[flyingfreehold]

Money Claim online is not expensive. The fee is based on the value of the claim. I think the limit is £10,000. I sued Ladbrokes for non payment of rent and they coughed up more or less immediately. The issue fee is roughly 8% going down on a sliding scale. The other side will have to pay you the issue fee if wanting to dispose of the action

[comm1985]

For a money claim, whats the best way to find/verify a tenants address?, I have a tenant in arrears who is still occupying a commercial unit, would the claim best be served to the shop address?

I have multiple home addresses for the tenant and am not confident whether the tenant resides at either of them.

[flyingfreehold]

I believe your duty is to ensure the tenant has notice of the claim being launched therefore in the circumstances you describe you could serve at the business address.