Let the break battles (re)commence

By Anna Ralston

Non-compliance with a mandatory requirement of a break clause (or any other option) will render it invalid. Tenant break options are a well-trodden battleground for landlords and tenants.

Against the background of a challenging economy, it is easy to understand why: the tenant wants to exercise his break to offload a rental liability. Perhaps because he no longer needs the premises or perhaps because the premises are significantly over-rented when compared with current market rents.

The landlord has an equal but opposite interest: he wants to keep the tenant committed under the lease. He knows that if the premises become vacant, he may struggle to fill the void. Or, at a minimum, that the level of rent he could expect to receive will be significantly lower…

Click on the link below to read the rest of the Nabarro briefing.

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