Commercial lease dispute with your landlord or tenant?

The lease decides most of it. Read it like we do. Speak to Kestrel.

The short answer

Commercial leases are their own world: the lease's wording governs, and the traps are procedural. Break clauses fail on tiny non-compliances, forfeiture rights are waived by accident, dilapidations claims are capped by the property's actual loss in value, and renewal rights under the 1954 Act depend on notices served exactly. Whichever side you are on, the document and the deadlines decide it.

The law, in plain English

For landlords facing arrears, the toolkit runs from commercial rent arrears recovery, seizing goods through enforcement agents after notice, to forfeiture by peaceable re-entry or proceedings where the lease allows. Forfeiture is powerful and perilous: demanding or accepting rent after knowing of a breach can waive the right, and tenants can apply for relief that restores the lease.

Break clauses are construed strictly. Conditions such as vacant possession, all sums paid, or notice by a precise method must be satisfied exactly; a break lost on a technicality can cost years of rent. Dilapidations run the other way: a landlord's schedule at lease end is bounded by the genuine impact on the property's value, not the wish list.

Business tenants often hold security of tenure under the 1954 Act: the tenancy continues at expiry and renewal can only be resisted on statutory grounds such as redevelopment, with compensation on some. The section 25 and 26 notice machinery is technical and dates matter to the day.

How it usually goes

1
Read the lease against the problem

Arrears, break, repair or renewal: the relevant clauses, conditions and notice mechanics are extracted before any move is made.

2
Protect the position

Landlords: avoid waiving forfeiture. Tenants: diarise break conditions months ahead. Both: keep sums and correspondence clean.

3
Use the targeted remedy

CRAR or a debt claim for arrears; a compliant break notice; a realistic dilapidations response with a surveyor; the correct 1954 Act notice in time.

4
Negotiate on the merits

Most disputes end in reset terms: payment plans, surrenders, renewals at market rent. Court and arbitration remain the backstop, priced before threatened.

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What you'll need

Time limits

Deadlines matter here.

Break dates and 1954 Act windows are fixed to the day and unforgiving. Arrears claims carry six years. Forfeiture rights can be waived within a single rent cycle. In leases, the calendar is the law.

What it costs

Lease review on the issue from £240 + VAT · notices, claims and negotiations quoted flat, in writing. Illustrative until our published tariff goes live.

Who handles this at Kestrel

This sits in our Property & tenancy practice. The machine builds the file; these lawyers do the law.

S
Shazia Ali

Solicitor · Co-Founder · Chief Executive Officer · Property & tenancy

Common questions

My tenant is months behind but I want them out, not just paid.

Check the forfeiture clause and what you have done since learning of the arrears; accepting rent can waive the right. Executed correctly, forfeiture ends the lease quickly, but relief applications and the value of the unit vacant are weighed first.

We miscounted and served our break notice late.

Late is usually fatal for that break date. The fallback is negotiation: landlords often trade an exit for certainty or money. Next time the break runs through a diary system with the conditions checked off months out.

The landlord's dilapidations schedule is enormous.

Schedules open high. The claim is capped by the real effect on the property's value, and intended redevelopment can reduce it towards zero. A building surveyor's response usually cuts these dramatically.

Our lease expired but we are still trading from the unit.

With 1954 Act protection the tenancy continues automatically until the statutory notices end it, and you may have renewal rights the landlord can only resist on set grounds. Do nothing casual: the notice machinery now controls the value.

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