It’s been a long time coming but the new Commercial Rent Arrears Recovery (CRAR) procedure is finally here.

It’s a big topic for commercial landlords and we’ve been talking about it with our clients for some time now, but the new Commercial Rent Arrears Recovery (CRAR) procedure is finally upon us. As of 6th April 2014 life gets a bit tougher for commercial landlords as the process of using bailiffs to recover commercial rent arrears changes significantly.

Under the CRAR regime landlords need to instruct an Enforcement Agent, under a strict statutory framework, to take control of goods to recover rent – a significant adjustment from the distress procedure that allowed the landlord or their agent to distrain. What’s more, landlords and Enforcement Agents must comply with a new minimum rent arrears period and notice period before attending to take control of goods.

Other charges deemed as rent in the lease, such as service charges and insurance, will need to be recovered through an alternative route, for example by obtaining judgement and enforcement using High Court Enforcement Officers.

Concerned about your commercial rent arrears?

If you’re unsure how you should go about collecting commercial rent arrears under the new rules or you need help recovering other charges, please contact our commercial property specialists on 0115 985 3450 or send us an email.