Commercial Rent Arrears Recovery (CRAR)  

Are you a commercial landlord facing the challenge of unpaid rent? Understanding Commercial Rent Arrears Recovery (CRAR) is crucial for effective debt recovery. Frank G Whitworth, experts in commercial debt recovery, provide this comprehensive guide to help you navigate the CRAR process and maximise your chances of recovering outstanding rent.

What is Commercial Rent Arrears Recovery (CRAR)?

CRAR is a legal procedure that allows commercial landlords in England and Wales to recover rent arrears by taking control of a tenant’s goods and selling them to cover the debt. Introduced in April 2014, CRAR replaced the older system of distraint and applies to all commercial leases, whether or not it’s specifically mentioned in the lease agreement.

Key Elements of  (CRAR):

• 7 Days’ Notice: Landlords must provide the tenant with at least seven days’ notice of enforcement before taking any action.
• Certificated Enforcement Agents: Only certificated enforcement agents (not bailiffs) are authorised to seize goods. They can enter the property through an open or unlocked door.
• Lease Requirement: CRAR applies to properties occupied under a written commercial lease. A mere licence to occupy is insufficient.
• Minimum Arrears: The arrears must be equivalent to at least seven days’ rent before CRAR can be used.
• Sub-Tenants: Landlords can also recover rent from sub-tenants through a similar process, but with 14 days’ notice.
• Working around the law : Landlords must use the CRAR procedure. Any attempts to circumvent it with smart clauses in the lease are void and potentially illegal.

How to Instruct the Commercial Rent Arrears Recovery (CRAR) Process with Frank G Whitworth:

Frank G Whitworth can guide you through every step of the CRAR process, ensuring compliance and maximising your chances of success. Here’s a general overview:

1. Instruct Frank G Whitworth: Contact our team of experts to discuss your situation. We’ll assess your case and advise on the best course of action.
2. Notice of Enforcement: We will serve the required seven-day notice to your tenant, clearly outlining the arrears and the intention to use CRAR.
3. Warrant of Control: If the rent remains unpaid, we’ll obtain a Warrant of Control, authorising our certificated enforcement agents to take control of the tenant’s goods.
4. Seizure of Goods: Our agents will attend the property and seize goods to the value of the outstanding rent. An inventory of seized items will be provided to the tenant.
5. Sale of Goods: The seized goods will be sold at auction, and the proceeds will be used to cover the rent arrears and associated costs.

Tenant Rights Under Commercial Rent Arrears Recovery (CRAR):

Tenants have certain rights under CRAR, including:

• Challenging the Notice: Tenants can apply to the court to delay or set aside the enforcement action.
• Controlled Goods Agreement: Tenants can negotiate a repayment plan with the landlord, secured by a Controlled Goods Agreement.
• Inventory of Seized Goods: Tenants are entitled to a detailed inventory of all seized items.

CRAR and Expired Leases:

CRAR can still be used in specific circumstances even if the lease has expired, provided certain conditions are met, such as the lease ending within the last six months and the tenant still possessing goods from the property.

Why Choose Frank G Whitworth for Commercial Rent Arrears Recovery?

Frank G Whitworth are specialists in commercial debt recovery. We offer:

• Expert Advice: Our team has extensive knowledge of CRAR and related legislation.
• Efficient Process: We streamline the CRAR process, minimising delays and maximising your chances of recovery.
• Compliance: We ensure all actions are compliant with relevant regulations, protecting you from legal challenges.
• Personalised Service: We tailor our approach to your specific circumstances, providing the best possible outcome.

 

Professional Associations and Certifications

• Professional associations and certifications can provide reassurance of a companies credibility and competence. Look for affiliations with industry organisations such as the Association of British Investigators and the High Court Enforcement Officers Association
• Choose a company who is recognised by reputable professional associations and holds relevant certifications to ensure that they adhere to industry standards and best practices. Frank G Whitworth and its sister company Quality Bailiffs are true professionals .Some of our team of agents on the ground include Luke, Grant James and Ben
• We operate all around England and Wales providing numerous services like CRAR , recovering debts, evictions of tenants, eviction of travellers & trespassers . This is done in all locations including London, Birmingham, Plymouth

Contact Frank G Whitworth Today:

Don’t let unpaid rent cripple your business. Contact Frank G Whitworth today for expert advice and assistance with Commercial Rent Arrears Recovery. We’ll help you recover what you’re owed and protect your interests.

Call Frank G Whitworth now

0208 106 5397  sales@frankgwhitworth.co.uk

124 City Road, London, EC1V 2NX

Website https://www.frankgwhitworth.co.uk/index.html

About the Author

This article was written by Andy Coates, Authorised High Court Enforcement Officer and full member of The High Court Enforcement Officers Association, and current CEO of Quality Bailiffs.

Andy has a Level 4 diploma in High Court Enforcement, and over twenty five years of experience in the bailiff and investigation industry. He is a former governing council member of both CIVEA and ABI.