Commercial tenants and landlords need to act now if they want to take advantage of the arbitration scheme for commercial rent arrears accrued during the pandemic.
Until 23 September 2022, commercial landlords will be prevented from taking enforcement action in respect of any rent arrears accrued whilst a tenant’s business was forced to cease trading due to lockdown. Those arrears, known as ‘protected rent debt’, under the Commercial Rent (Coronavirus) Act 2022, can be referred to an arbitrator, who will decide whether the tenant should be granted relief from payment.
Under the Act, either the tenant or landlord must give the other notice of their intention to refer the protected rent to arbitration. The receiving party may send a response within 14 days, and if no response is received, the initiating party must wait 28 days before referring the matter to arbitration. This means that the initiating party needs to send a notice of intention by 26 August 2022.
Banks Kelly Solicitors is happy to assist in preparing the notice of intention on an urgent basis. We can also provide representation for both landlords and tenants throughout the arbitration process and beyond. Please contact us to discuss.