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ARTICLE · 11 SEPTEMBER 2013

CRAR In A Nutshell

The threat of the bailiffs at the door often persuades a tenant to pay what is due but that remedy is going and we have waited years to see the detail of Commercial Rent Arrears Recovery being the new statutory remedy replacing distress.

United KingdomReal Estate and Construction

Many landlords have used the ancient remedy of distress to apply effective pressure on their tenants to pay their rent in a timely fashion. The threat of the bailiffs at the door often persuades a tenant to pay what is due but that remedy is going and we have waited years to see the detail of Commercial Rent Arrears Recovery (CRAR) being the new statutory remedy replacing distress. Finally we have the regulations and they will come into force on 6 April 2014.

The idea behind CRAR was to redress the perceived imbalance between the landlord’s and the tenant’s rights when recovering rent arrears.

Broadly, the changes that will be made to the existing regime are:

  • CRAR can only be undertaken by certificated enforcement agents (bailiffs)

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