Vacant Possession – What Does It Mean?

Despite the importance of the term vacant possession to both property owners and tenants, the term is not defined in legislation, nor is there a clear Irish authority confirming what is meant by vacant possession. We consider what vacant possession means and its relevance to owners and tenants of commercial real estate.

Vacant possession is a term to describe the usual basis on which a seller must deliver a property to a buyer on completion or a tenant must deliver to a landlord at lease expiry.

Failure to deliver vacant possession has different implications for a seller or tenant dependent on the circumstances. To avoid potential breaches of contract or of lease covenant, sellers and tenants should be fully aware of the terms of any contractual commitment to deliver vacant possession.