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Brexit Frustration | Not Enough to Exit a Lease

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We can only imagine that people up and down the rock which is called the United Kingdom European Union (which is technically made of a number of rocks) are fed up with Brexit.  So, a case caught our eye which made us smile regarding a large agency trying to exit a 25-year lease based on Article 50 being invoked. 

Firstly, we were surprised to see that 25-year leases were still being signed – sorry but we don’t think that’s the smartest business move – and then smiled again to read that Brexit is a reason to exit the lease!  Nice try – but the law of contract and in particular the topic of frustrating a contract is well-rehearsed in this link –

We think this is important because obviously, all sorts of organizations could start to look at business obligations based on Brexit and try to sidestep their responsibilities.  Readers may note that the position is in flux and as the finality of the Brexit decision gets closer, it may be that Brexit becomes a reason that the Court accepts can frustrate a contract.

For the moment it isn’t but watch this space!  For everyone else, landlords can continue to forfeit a lease or obtain an Order over commercial contracts premises which we will happily enforce.

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Last updated | 19 July 2023

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