Legal Q&A?????????????

I am the sub tenant of a commercial office & my immediate landlord has gone into liquidation. This doesn’t effect me…………..does it?

YES, it does……………

but it will depend of how either your head lessee and liquidator wish to proceed so start by contacting them.

Firstly it is likely that your immediate landlord is not paying the rent or other demands (insurance, service charge etc). Therfore you may receive a S.6 notice from your superior landlord requesting payment directly from you.

The superior landlord may consider forefeiting the lease if able to do so. He will have the liklihood of re-letting in mind and so economic conditions will have a bearing. You couls apply to the court for relief against forfeiture but the court has the discretion to insist on onerous conditions that you must consider.

Alternatively your landlords liquidator (after adminstration) has the ability to disclaim the lease (only the liquidator can forefeit a lease). If this occurs your rights and liabilities in relation to the property are extinguished. But if you continue to make rental payments (and they are accepted) you can apply to the court for a vesting order so you can step into your landlords shoes and become tenant under the headlease.

If your having problems with your lease, landlord or tenant then contact any of the team at RPS who will be happy to discuss your options with you.

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