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Background
A Birmingham based commercial landlord contacted Clearway concerned about mounting arrears against a long-standing tenant. Clearway was recommended to them by another client who had experienced the same financial situation, which Clearway resolved. The situation was explained; the tenant had made promises of payment, failed to pay and was now refusing to communicate with the landlord and the relationship had reached a standstill.
Solution
To resolve the situation, the enforcement team provided two options:
- a peaceful repossession of the property
- the collection of arrears under Commercial Rent Arrears Recovery (CRAR).
The client advised that due to a long-standing relationship with the tenant, they did not wish to immediately end the tenancy and therefore decided that the most suitable option was to attempt to recover the debt and continue the relationship. The client raised concerns about sending a notice of enforcement to the tenant, which the enforcement team resolved by explaining each stage of the process and advising them that this option would be the most suitable to facilitate the desired outcome.
Upon client instruction, the notice of enforcement was issued and contact was quickly re-established. The tenant was informed that Clearway had been engaged on behalf of the client and the next legal steps that can occur under CRAR to collect the outstanding arrears.
Outcome
Within the hour, the tenant paid in full, much to the client’s delight. The client had reduced his financial losses, maintained his landlord-client relationship and was highly impressed with the service Clearway had provided.
