A short lease is not always a low-risk lease

As a business owner in partnership with others, you probably took great care to consider the key issues and agree a carefully worded partnership agreement at the formation of your business. But once signed, has this important document been filed away under lock and key without a great deal of attention since then?

Our commercial law team discuss the balancing act between making the right supplier appointment without risking a confidentiality breach

‘It is important to understand what makes a legally binding agreement, and why additional safeguards may be needed, comments Rachel Atherton, a Partner in Bracher Rawlins’ corporate and commercial team.

‘Several factors will influence your choice of legal structure for the deal, including the scope of the project, its likely duration, the level of risk, taxation and funding, as well as your respective negotiating positions,’ says Liisa Paas, a Solicitor in the corporate and commercial team with Bracher Rawlins LLP. ‘The decision whether or not to incorporate should be made very carefully.’

‘By getting your business MBO-ready as early as possible, it is more likely that any deal will succeed, completing quickly with no hiccups,’ says Rachel Atherton, a Partner in the corporate and commercial team with Bracher Rawlins LLP.

Rachel Atherton considers how to ensure your business is fully prepared for a management buyout.

‘You and your tenants may agree on the idea of solar panels to cut energy costs,’ says Alex Fenegan a Partner in the commercial property team with Bracher Rawlins. ‘But it is still vital to ensure that installing them does not leave either of you in breach of the lease.’

Background If you are a landlord of commercial property, you will have chosen your tenants carefully. A landlord wants to be sure that a tenant will pay the rent and service charge, and that the tenant will comply with the obligations in the lease so that the property is kept in good repair. At the […]

Background Running a business through a traditional partnership has many advantages, including the ability to keep financial information confidential, less onerous compliance with statutory rules for companies, and transparent tax treatment where partners are only taxed on the profits they receive, not on the overall profits generated by the business. However, one of the biggest […]

Background There has been a lot of online chat in the last few weeks as to whether a collateral warranty can be a construction contract and as such can be the subject of an adjudication. This chat has followed the decision the Court of Appeal in the case of Abbey Healthcare (Mill Hill) Ltd v […]

Background Growing awareness of the role of our built environment and green space in tackling carbon emissions is also shaping attitudes to the way commercial property is developed and managed. Investors and developers who understand the need for green space around their buildings are finding they may have a commercial advantage. The green credentials of […]

Background Have you ever signed a contract which seemed to be perfectly clear, straightforward and reasonable at the time it was agreed, but which later turned out to be ambiguous in important respects or which gave rise to unintended and arguably unfair results? If so, you are not alone. Indeed, in our experience, many construction […]

Background Businesses may need to send someone to court for a variety of reasons; from recovering an unpaid debt or contractual overpayment, to defending a personal injury claim or tax action brought against them by HMRC. Whatever the circumstances, there will be a need for evidence to support their position and often this will come […]

Background Even the most promising development can be knocked off course if the land is subject to a restrictive covenant. Restrictions of this sort can prevent land being built on or being used for specific purposes for many years, even if the development has planning permission. Restrictive covenants can cause big problems for developers, causing […]

Background When the New York Times announced in February 2022 that they had bought the popular free to play word game Wordle for a seven-figure sum, there were a few raised eyebrows. How could a game that was only launched a few months earlier, which has never generated any income, already be worth millions of […]

The Covid-19 outbreak continues to present serious problems for construction firms. With the end of the pandemic seemingly in sight, a surge in construction projects since the easing of the various lockdowns has seen a drastic increase in the demand for materials – including timber, steel and electrical components – which, according to the Construction […]

Background The impact of Covid on the British Economy will not be fully understood for months if not years. In particular the retail and hospitality sectors have been hit very hard. During the course of three lockdowns and stringent measures in between many shops, restaurants, pubs and hotels have either been forced to close or […]

What is it? With effect from Monday 1 March 2021 fundamental changes to the VAT system will take place. Described as ‘Reverse VAT’ these changes are going have an immediate impact on the UK Construction Industry. The new regime will affect any construction firms which provide specified services which are governed by the Construction Industry […]

HM Treasury have published further guidance on the Coronavirus Job Retention Scheme (CJRS or Furlough Scheme) The Direction formally extends the Furlough Scheme until 31 March 2021 and withdraws the Coronavirus Job Retention Bonus (under which employers could claim £1,000 per employee brought back from furlough and employed until end January 2021). It also clarifies […]

As we entered into a second national lockdown, the government announced that the Coronavirus Job Retention Scheme (CJRS or furlough scheme) would be extended for an additional month. Less than 24 hours into lockdown the Chancellor, Rishi Sunak, has announced a further extension of the scheme until 31 March 2021. Further guidance on the extended […]

It is likely that COVID-19 will affect many Construction Projects throughout the UK. Whilst the Government’s advice is in effect to “Keep Calm and Carry On” it is hard to see how the Construction Industry is not going to be affected. Even if the country, or at least major cities are not put in “lockdown” […]