Guide to Landlords and Tenants: The new Code of Practice for Commercial Property

On 19 June 2020, the Government issued a new voluntary Code of Practice for commercial property. The Code has been developed with leaders from the retail, hospitality and property sectors to provide clarity for businesses when discussing rental payments and to encourage best practice between landlords and tenants so that all parties are supported.

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No Breathing Space for Brexit

The UK left the EU on 31 January 2020 and, shortly after, the country became preoccupied with coronavirus. The UK is in a transition period until 31 December 2020 during which time it is still largely aligned with the EU. After that, either the UK will have a suitable trade deal or it will move to WTO terms. This focus on more pressing matters means there has not been much progress on negotiating the trade deal.

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Disclaimer of Leases

The lockdown will likely lead to an increase in companies entering liquidation. The appointed liquidator might then issue a notice to “disclaim” a lease if it is unprofitable or if it can’t readily sell the property or if it will give rise to a liability to pay money or perform any other onerous act.

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