Media Briefing Note: Comet Administration
01 November 2012
LONDON, 1 November 2012 - Commenting on the impact to landlords of Comet filing its notice of intention to appoint administrators this morning, Daniel Norris, partner in Hogan Lovells' real estate team said:
“The timing of the notice of intention to appoint makes this looks a little last minute if it was intended to avoid bailiffing for 1 November rents, where monthly deals are in place with the 1st as the due date. In fact this is taking things to the wire, because 1 November rents can’t be bailiffed until 2 November meaning that even though they filed on the rent due date they are still thwarting landlords who would otherwise distrain.
"Landlords who have monthly side letters that are terminable on the tenant entering into administration will also have a tough call to make - terminate the concession and not receive rent until the quarter day, but hope to get a quarter’s rent at Christmas.”