In the last edition, we warned commercial landlords and tenants to be ready for the expiry of the emergency protections that have benefitted business tenants since March. Battle was due to recommence on 1 October 2020.

Shortly after publication, the government extended the 'relevant period' until 31 December 2020. This means that landlords cannot forfeit relevant business tenancies for non-payment of rent until 1 January 2021, or exercise Commercial Rent Arrears Recovery (CRAR) before 1 January 2021 unless at least 276 days' rent is owing (rising to 366 days on 25 December 2020).

The moratorium on using statutory demands to start winding-up proceedings has been similarly extended, so that a statutory demand served between 1 March 2020 and 31 December 2020 (inclusive) may not be used to justify the presentation of a winding-up petition.

So, the day of reckoning is postponed until 1 January 2021. Landlords and tenants must be prepared in case that happens. But, with the second national lockdown having already led to the furlough scheme being extended until 31 March 2021, it is perhaps more likely that the protection afforded to business tenants will also be extended until next spring.

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