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That landlord has been notified that we are struggling to pay, yet opted to hold us to to term.
Lease provides for deductions from deposit to cover missing rental and that deposit be topped up. Failure to do so will result in a breach. If a breach is relied upon then it appears that this is the ultimate result required by me.
If we are unable to pay the rent and there is no personal guarantee, then it appears the landlord could take possession immediately, if I understand correctly.
Would the landlord be likely to chase for the remainder of the term?
So, despite no personal guarantee, the landlord could still opt to chase up to the next break clause, but they would be chasing an zero asset and zero capital limited company, which ultimately would bear no fruit.
We have offered to source a replacement tenant. There is nothing in the contract which states they are required to accept a replacement or that the replacement must be of a certain standard.
The limited company is looking to be struck off, are we obliged to notify landlord if provision is made for the same in the contract and if so, would this be considered more of a breach than the inability to afford the rental?
I have just seen a guarantee and indemnity section at the back of the contract which makes reference to guarantor, yet the signature on the contract is as a director of the limited company only.
Does this mean that by including this at the back of the contract, the director is signing as a personal guarantor? It's not clear at all that this is the case.