Recovery of Rent Arrears
When a tenant defaults on rent, there are various avenues open to the landlord. Depending upon the terms of the lease, and the action brought, the landlord may be entitled to damages, costs and interest.
The possible routes for a landlord include:
- Commercial Rent Arrears Recovery;
- Insolvency Proceedings;
- Court Action; and
- Action against the tenant’s guarantor.
Myerson Solicitors have a wealth of experience of advising clients of the most effective route to rent arrears recovery. We advise on forfeiture and on possession proceedings.
In the context of residential leases, it is an offence to evict a tenant without a court order.
In the commercial context, a commercial tenancy must have been properly terminated before proceedings start. This may be on expiry of the contractual term, the operation of a break clause, or on forfeiture of the lease. The landlord may also bring a claim for possession against trespassers.
If an order for possession is obtained and the tenant does not give up the property by the date specified in the court order, the landlord will need to enforce the order for possession. An order for possession can be enforced by applying to the County Court for a warrant of possession; or applying to the High Court for a writ of possession.
Enforcement will then be carried out by an enforcement agent, or an enforcement officer of the High Court.
There are a number of options available to landlords in the event of tenant default. If you are a landlord and you require more information on enforcement action; or if you are a tenant and you would like advice on potential consequences of default, and how to tactically deal with a potential default; please contact a member of our property litigation team.