The Commercial Rent (Coronavirus) Act 2022 comes into force
The general moratorium on commercial evictions and restrictions on Commercial Rent Arrears Recovery in England and Wales has now ended, but eligible commercial tenants remain protected for the next 6 months during which arbitration can be applied for or until the conclusion of an arbitration.
The Commercial Rent (Coronavirus) Act 2022 is now law and provides a legally binding arbitration process to resolve certain outstanding commercial rent debts related to the pandemic.
The law applies to commercial rent debts of businesses including pubs, gyms and restaurants which were mandated to close, in full or in part, from March 2020 until the date restrictions ended for their sector. Rent accrued at other times will not be in the scope.
Commercial landlords and tenants are encouraged to negotiate agreements in line with the Code of Practice so that they can draw a line under the uncertainty caused by the pandemic and plan ahead and return to normality.