That COVID-19 will have an impact on commercial agreements of
every type is at this point self-evident. In past weeks,
governments have passed increasingly restrictive measures to limit
the spread of the virus. In Saskatchewan, the most recent public
health order indefinitely closed businesses ranging from swimming
pools and ice rinks to tattoo parlours, bars and cafes. At this
point, it is unknown when things will return to "business as
usual."
In light of the widespread and indefinite closure of many kinds
of businesses, commercial landlords may have concerns, broadly, in
relation to (1) their potential liability toward their tenants for
complying with public health orders requiring them to restrict
access to the leased property, and (2) their tenants'
obligation to pay rent when they are unable to use the leased
property as a result of a public health order. This article gives a
brief overview of some common commercial lease terms (both express
and implied) and