Peaceable re-entry by L (business lease)

[Neil M]

Hello all. This is my first thread and I'm glad I've found you. I have an commercial unit and the tenant has not paid any rent for a while. I've been trying to find out a few things about peaceable re-entry. What I want to know is:

1. If I enter and forfeit the lease can I still sue for the outstanding rent arrears up to the date of re-entry?

2. What do I do if the tenant has left goods, machinery etc in the unit? Can I sell them and put the proceeds towards the outstanding rent?

Hope you can help

Neil

[yeahbutno]

I'm pretty sure the answer in both cases is "yes", but I would say it is essential to get proper legal advice from a solicitor specialising in commercial leases.

It also probably depends on the exact wording of the lease.

[starlettings]

If T does not pay rent and lease reads:

Condition for RE-Entry
The landlord may re-enter the property at any time after any of the following occours.

(a)any rent unpaid after 21 days after becoming payable whether it has been formally demanded or not

Does that mean exacly that ....we can just take the site back???...no courts etc???

Thanks guys/gals

[Lawcruncher]

If T does not pay rent and lease reads:

Condition for RE-Entry
The landlord may re-enter the property at any time after any of the following occours.

(a)any rent unpaid after 21 days after becoming payable whether it has been formally demanded or not

Does that mean exacly that ....we can just take the site back???...no courts etc???

Thanks guys/gals

Yes, so long as the premises do not include residential accommodation. It is wise to employ a bailiff to do the job as they know how to do it.

However, the tenant has the right to apply to the court for relief from forfeiture. Relief is in the discretion of the court.

[starlettings]

How long would T have to ask the court for relief....do they often grant it...on what grounds?

[Editor]

This may help:
http://www.landlordzone.co.uk/legal/tenancies-commercial/forfeiture-business-lease.htm

[john deere guy]

Hi

I am planning on peacefully re-entering a retail property as the tenant has not paid his rent. It has been formally requested and I’m in accordance with the lease to re-enter.

The tenant has told me in the past that the stock in the shop is in another LTD company’s name. Not the Ltd that is in occupation.

Once I re-enter the property can I take the stock to cover the outstanding rent and service charge?

Any suggestions on the procedure on how to tackle this would be appreciated.

Thanks

[Mark Hessel]

Hi,

No, you cannot forfeit and then distrain for the rent (distrain means seize goods and sell). You could distrain, see what that achieves and then later forfeit if still in arrears.

[Always Problems]

The tenant has told me in the past that the stock in the shop is in another LTD company’s name. Not the Ltd that is in occupation.
I would ignore this bit of information as misinformation designed to delay or stop you taking action. I would just send in the bailiffs. One of my tenants seems to change Limited Companies when she feels like it, in fact some of the time she gives out invoices using stationery of a previous Ltd.Co which has been struck off, the problem is that Ltd.Co's to some tenants are like cars, "I think I'll use this one today" Its all wrong, we rent property to people not "Totally Separate Corporate Identities" which is what Ltd Co's are.

[Lawcruncher]

Distress can be levied against the goods of third parties. Third parties have the protection of section 1 of the Law of Distress Amendment Act 1908: http://www.statutelaw.gov.uk/content.aspx?LegType=All+Legislation&title=law+of+distress&Year=1908&searchEnacted=0&extentMatchOnly=0&confersPower=0&blanketAmendment=0&sortAlpha=0&TYPE=QS&PageNumber=1&NavFrom=0&parentActiveTextDocId=1069032&ActiveTextDocId=1069035&filesize=3365

[Chessy]

Hi

Could you just help me to get something clear in my mind.

If you have issued a tenant with a section 25 notice (No renewal) on none rent payment grounds and they then stop paying the rent, would I be correct in thinking that after a statutory length of time it is possible to use peaceable re-entry to repossess the property even though the 6 month period under the S25 has not yet expired?

Rent is paid monthly. There is no written lease.

I look forward to your advice.

[Chessy]

Hi
on none rent payment grounds

Sorry - just realised this bit is ambiguous - I mean the S25 has been issued for a reason other than not paying rent.

[Lawcruncher]

The service of a section 25 notice does not affect your right to peaceably re-enter.

[john deere guy]

Tenant has forfeited commercial lease for non payment of rent. I want the property back.

How do I peacefully re-enter the property after work hours without baliffs.

Do i need to serve any notices?

What notice do I leave on the shop window?

Any other advice would be appreciated.

Thanks

[JK0]

Did the tenant hand back the keys? If so, the property has been surrendered, so there is no problem with you letting yourself in, and no necessity to post notices.

[john deere guy]

Did the tenant hand back the keys? If so, the property has been surrendered, so there is no problem with you letting yourself in, and no necessity to post notices.
Handing back the keys is not classed as surrender of the lease. I have this written in the lease.

I have been handed back a set of keys, but not all the sets.

Thanks

[Moderator1]

Several separate but overlapping threads have been merged into this thread.

[Lawcruncher]

Tenant has forfeited commercial lease for non payment of rent. I want the property back.

How do I peacefully re-enter the property after work hours without baliffs.

Do i need to serve any notices?

What notice do I leave on the shop window?

Any other advice would be appreciated.

Thanks

When you say the tenant has forfeited I assume you mean defaulted in some way.

When the tenant is in occupation it is unwise to attempt to forfeit yourself because the rules are quite involved. Much better to instruct bailiffs who do it all the time and know what they are doing.

[quarterday]

When you say the tenant has forfeited I assume you mean defaulted in some way.

When the tenant is in occupation it is unwise to attempt to forfeit yourself because the rules are quite involved. Much better to instruct bailiffs who do it all the time and know what they are doing.


Have the tenantsgiven you grounds for forfeiture rather than themselves forfeited the lease? Forfeiture can only arise by order of court or operation of law, I think.....

[Lawcruncher]

There seems to be some slight confusion over the word "forfeit" here. In everyday use it is a bit like "rent" which can mean to obtain occupancy or to grant occupancy. Whilst a tenant can forfeit a lease in the sense that he can lose it for breach of covenant, only a landlord can forfeit a lease in the sense of bringing it to an end.