fbpx

Commercial Tenancies

According to the Property Data Report 2014, over half of the UK’s commercial property is now rented by occupiers.

Business owners who are aware of the distinctive characteristics of commercial tenancies therefore can be at a significant advantage in business.

At Seatons, our team of highly trained legal advisors have a wealth of experience in commercial tenancy matters and provide clear, easy to understand legal advice at low sensible fees. For more information, feel free to give us a call on 01536 276300.

Statutory Protection

Business tenancies are protected under the Landlord and Tenant Act 1954. The protection applies to business tenancies granted to most types of business but there are some exceptions, the most significant being agricultural leases and short term leases.

The statutory protection grants a business tenant Security of Tenure. Where a business tenant has security of tenure, it means that the business tenancy will automatically continue at the expiry of the lease term on the same terms, until it is terminated in one of the ways specified in the Act. In addition, the business tenant can apply to court for a new tenancy and the landlord may only oppose on certain statutory grounds (including paying compensation by the landlord to the tenant if the tenant’s application is unsuccessful). A renewed tenancy will also benefit from security of tenure.

Many leases contract out of the Landlord and Tenant Act 1954 meaning that the tenant’s rights are significantly reduced. If a landlord insists on opting out of the Landlord and Tenancy Act 1954, the tenant must seek legal advice and sign a declaration that they have been advised on the effects of this.

Liabilities

Depending on when the original lease was entered into, the tenant could also potentially be liable for the enforcement of all obligations and covenants until the end of the lease term. This applies also in situations where the lease was sublet, or even assigned to a new tenant. The rules encompassing this area of law make up a complex framework, and it is best practice to seek professional legal advice for expert clarification first.

Authorised Guarantee Agreements

Depending on when the original lease was entered into, the landlord may also demand the tenant to enter into an Authorised Guarantee Agreement when subletting/assigning the premises to another tenant. The landlord has the power to do this in situations where there are no rights granted in the lease for the tenant to assign the premises. An Authorised Guarantee Agreement must be signed by the tenant and makes the tenant liable for the obligations under the lease for the duration of the term, should the new tenant be unable to carry them out.

Gemma McKimmie - Seatons Solicitors

Commercial Property Specialists In Corby & Kettering

Hello, I am Gemma McKimmie and I am the Head of Seatons Solicitors Commercial Property Department. We aim to provide our clients with an outstanding legal service.

We will help and support you and most importantly we work hard for you.

Please contact us for a free, no obligation chat at either our Corby office on 01536 276300 or our Kettering office on 01536 311690 or contact us online.

Latest Articles About Commercial Property

The Business Rates Regime is Complex – Seek Legal Advice For Certainty

The law relating to business rates is intricate to say the least and without expert legal advice occupiers can fall victim to its complexity...

Allotment Holders – Lean On Your Spade and Think On the Legal Position

Few people who use allotments are aware that the plots are likely to be of great antiquity and to be held on charitable trust for the public...

Unlawfully Evicted Evangelical Church Wins Damages

Evicting unwanted tenants can be a costly and laborious process, but landlords who give in to the temptation to take unlawful shortcuts risk being hit hard in the pocket.v

Station Building Which Featured in Dad’s Army Reprieved From Demolition

Many admired and much-loved buildings are not listed, but that does not mean that they are entirely without protection. In a case on point, a rural station building once used in the filming of Dad's Army was reprieved from demolition thanks to a planning challenge brought by SAVE Britain's Heritage…

Why Use Seatons?

  • Practical sensible help and information
  • Fixed, competitive and affordable prices
  • We care about you and fight for you
  • Regulated by the Solicitors Regulation Authority
  • We can help resolve your issue quickly & easily

Latest COVID-19 Information

WE ARE STILL OPEN FOR BUSINESS HOWEVER, OUR FRONT DOORS WILL BE CLOSED TO THE PUBLIC DURING THIS 2nd LOCKDOWN PERIOD from 5th November until further notice. For us all to be as safe as possible, our preference will be to interact with clients by telephone, email and/or zoom meetings ONLY. We would ask that if you have to drop any papers off at our offices, you use our Post Box unless you need anything copying, in those cases please knock the door and one of our receptionists will deal with you at the front door but only if you are wearing protective face coverings. If you require further assistance then a member from the relevant department will telephone you thereafter to discuss. We hope you understand that this is to safeguard you, our staff and to limit as much contact as possible. We may take a little longer to respond to enquiries and deal with matters. Please bear with us. FOR MORE INFORMATION CLICK THE BUTTON BELOW.