Commercial Landlord & Tenant Disputes

Non-payment of rent – Recovering debts from Tenants or defending claims by Landlords can be a complex process. Our article Recovery of arrears and breaches of a lease in commercial arrears cases explains a Landlord’s options in such cases and how a Tenant can deal with them.

Assignments and subletting – Landlords want to know who occupies their buildings and Tenants want freedom to be flexible with their use of business premises. Landlords are cautious about changes to occupants of their buildings in case the new tenant may not have the same financial strength or stability as the original tenant, or when the sublease is offered at rates below the market average. Most leases require a process to be followed when leases are assigned or sublet. We advise both Landlords and Tenants on the process.

Dilapidations – Determining whether the responsibility for repairing, decorating or reinstating the property falls on the Landlord or the Tenant can be challenging. Reinstatement obligations can be expensive and time consuming to resolve.

Break clauses – The complex legal framework surrounding break clauses may cause issues for Tenants attempting to exit a property. There are a number of legal traps that can invalidate a break clause.

Service charges – The calculation method for service charges often leads to disputes, particularly where service charges reach significant amounts or seek to include major works.

The primary objective when reviewing a commercial lease dispute is to select a strategy that swiftly and effectively resolves the issue, preventing it from escalating into a situation that consumes more time and resources.

A straightforward commercial lease dispute can be resolved with robust initial correspondence. If not, there are a number of strategies can be employed – for more information please see our article Recovery of arrears and breaches of a lease in commercial arrears cases explains a Landlord’s options in such cases and how a Tenant can deal with them.

If a dispute begins to develop it could be detrimental to both parties. For landlords, there’s a risk of losing rental income or facing delays in finding another tenant. Tenants, on the other hand, may face the landlord’s right to enter the property and terminate the lease for serious breaches.

At Herrington Carmichael, our team of specialist commercial property litigation solicitors have extensive experience advising businesses on their commercial leasing matters. We are here to offer practical and proactive assistance, enabling you to focus on running your business smoothly.

There are two effective ways to minimise the potential for a commercial lease dispute. First, ensuring the lease document is clear and comprehensive from the start, covering all possible scenarios. Disputes are far less likely when everyone understands their position clearly.

Secondly, maintaining open lines of communication allows for early resolution of any emerging issues before they escalate into significant problems.

If after efforts to resolve the matter through discussion or alternative dispute resolution are unsuccessful, you may need to initiate legal proceedings. Take the first steps by calling one of our specialist solicitors today.