Rent Arrears and Forfeiture

As a landlord, you may face issues with a tenant who is in arrears of their rent, or in breach of other obligations under the lease. Where faced with these issues, a landlord will inevitably want to protect and secure their asset(s). This is usually by seeking to regain possession of the property. A landlord may wish to serve a s.146 Notice pursuant to the Law of Property Act 1925, for a tenant being in breach of any of their other obligations under the lease, not including rental arrears.

The ideal outcome for a landlord would be to effect forfeiture, allowing the landlord a right to regain possession. This is on the contingency that a valid forfeiture clause is expressly reserved in the lease.

Taking legal advice in respect of the rent arrears your position before taking further action is certainly recommended, as the legal implications for a landlord having prematurely commenced forfeiture can be catastrophic, potentially resulting in criminal prosecution.

There is also protection that can be afforded to a tenant, based on whether proper practices have been adopted by the landlord. We can advise tenants of any defences that may be available to them in respect of any action taken by a landlord including an action for arrears of rent or forfeiture.

How can we help you?

Our Property Litigation team has extensive experience in assisting landlords and tenants navigate through these challenges.

Our team can advise on all aspects of:

• General advice on the obligations of the landlord or tenant.
• Preparing and serving section 146 notices.
• Assessing whether grounds for forfeiture apply.
• Advice in relation to any defences available.

Please feel free to contact our team on 0345 646 0406 or fill in our online enquiry form and a member of our team will be in touch.