Originally written by Simon Maddox on Small Business
The coronavirus pandemic is completely unprecedented and brings with it unique and far-reaching issues for both commercial tenants and landlords to navigate. Many small business owners have already written to landlords asking for a commercial rent freeze while the pandemic goes on.
Can I go on a rent strike?
Many businesses will want to know what their rights are in a situation where they are prevented from opening business due to an “act of God” or force majeure. Can they unilaterally freeze rent payments where they are shut down, whether through enforced staff absence or official decree, as we have seen this week across the leisure and hospitality industry?
>See also: Government launches business Coronavirus Job Retention Scheme
What if the government forces my small business to close?
As a starting point, in the absence of specific contractual provisions, there is no common law right to include a deemed “force majeure” provision in the lease document. Commercial leases often contain rent suspension provisions for damage to property arising out of certain specified risks, but those rent suspension provisions do not normally extend to cover enforced closure of retail or other units pursuant to statutory powers.
Therefore, in the absence