07 Apr THE FATE OF RENTS IN COMMERCIAL LEASE TESTED BY COVID-19
The COVID-19 epidemic, in addition to the unprecedented health crisis, also has particularly serious economic consequences.
The successive measures announced by the Government, by decrees of March 15 and 16, 2020, as well as the decree of March 17, 2020, directly impact many companies which face, if not a sudden drop in their customers, an outright ban on exercise their activity.
These measures involve a legal issue in contract law, and more specifically for commercial leases, given the difficulties or even the impossibility for economic players to honor, in particular, the payment of rents
What are the consequences of this epidemic on the lessee’s main obligation relating to the payment of rents and charges?
Can the lessee oppose the suspension or even the exemption from the payment of rents against his lessor, on what basis, in what hypothesis in view of the current situation?
The government issued the Small Business Rents Ordinance on March 25, 2020. (n ° 2020-316 of March 25, 2020).
The purpose of this note is to present a state of positive law, under the prism of contract law and that applicable to commercial leases, subject to still probable changes in standards, following the state of health emergency decided by the government…