Landlord and Tenant L3 Flashcards
Tell me about a challenging landlord & tenant case you have dealt with? `
36 High Street Broadway.
Should have been straitforward rent review but the history tainted it.
Tell me about when and why you have served a Calderbank offer or other offer to settle.
36 High Street Broadway. Negotiations stalled.
I advised that we were in a strong position grounded in evidence.
Used it in an attempt to settle, show confidence, and protect clients position on costs.
Why do you need client’s instructions before submitting a third party
application?
Professional best practice.
Ethically best practice.
Commits my client to increased costs, and a potentially a determination that may not favour them.
What are the advantages and disadvantages you have pointed out to clients in relation to third party procedures?
Positive:
Concludes matters
Decision can advise on costs
Fair and impartial intervention from experience professional.
Negatives:
May not decide in clients favour
Higher costs
Limited scope for appeal (typically process based reasons)
How could MEES impact upon your advice on a landlord & tenant case?
Landlord requirement to be compliant at lease renewal can hand significant leverage to tenant in negotiations.
36 High Street Broadway. What are in your client checklists?
Seeking clarification.
36 High Street Broadway. You mention historic conflict, can you provide some background to this? How was the matter resolved?
- Unpaid rent during COVID.
- Tenant simply stopped paying rent.
- Tenant traded profitably from the unit even when closed using it to fulfill online orders.
- LL eventually won backdated rent.
If challenged on why LL couldn’t seek forfeiture for unpaid rent.. because they were protected by the Coronavirus Act 2020.
If asked how the matter was resolved… I think through the Commercial Rent (Coronavirus) Act 2022 Arbitration process.
36 High Street Broadway. You advised on an independent expert, did the lease make reference to this?
Yes.
If asked what other provisions the lease made…
- Expert with 10 years practice in the local area.
36 High Street Broadway. How long had negotiations stalled before you suggested appointing an independent expert?
A bout a month, during which time it felt like there was almost no movement.
Appointment was combined with serving a Calderbank offer.
36 High Street Broadway. Could you have advised any other form of ADR?
The lease specified Independent expert, and the RR was governed by the lease.
If asked… Alternatives would have been Arbitration or mediation but would have required mutual cooperation, and not had the legal support of the lease agreement.
36 High Street Broadway. Would you advise the same method if this had been a lease renewal?
No. It was an unprotected tenancy without any renewal option in the lease, Market forces would have determined negotiations.
If asked what impact if the tenancy was protected… The negotiations would have been governed by statute and as a last resort resolved in the civil courts.
36 High Street Broadway. You advised the client to issue a Calderbank letter. Would you do this in every case?
If going to independent expert then yes, as an attempt to avoid further costs as well as to PROTECT CLIENTS POSITION ON COSTS.
How did you manage to conclude the matter?
It was concluded at a rent marginally lower than the Calderbank but backdated fully plus interest determined by the lease.