Articles and News

Subleasing may be an option as businesses consider reducing the amount of office space they require in the new COVID-19 world. But what do you need to know before jumping on the sublease wagon?

In our latest COVID-19 construction update Finn Collins discusses  the costs of working, primarily on commercial projects under level 3. 

Requirements for workplaces at Level 3 are:

• People must work from home if that is possible;
• There must be no physical interaction with customers;
• Workplaces must be able to be operated safely, including a requirement for one metre physical distancing.

This is an update on our previous note on leases at Level 4

In this note we examine the implications of the move from Alert Level 4 to Alert Level 3 for landlords and tenants of commercial leases. 

What is the effect of the change from Alert Level 4 to Alert Level 3 on leases? Will ADLS clause 27.5 still be relevant?

If you have an existing agreement and consider that you are in a position to settle at alert level 3 then you should discuss this with your lawyer. 

The Government today announced what level 3 could look like for business...

Opportunists will prey on those who sit on their hands during the vulnerable times. You could find your business and your intellectual property portfolio exposed when the economy does bounce back if you don't look after it now.

Without the proposed temporary changes to the Companies Act directors could face personal liability for their company’s debts if they allowed a company with cash flow or other solvency issues to continue trading.

This is the story of how Body Corporate Apartment X (BCAX) has responded to COVID-19. Other Bodies Corporate may find this useful in determining their own courses of action.

Are employees still paid for public holidays if they are not working because of COVID-19? And if so, how much are they paid?

If you are in the process of buying or selling a property, we recommend you discuss matters with your lawyer. Although our physical offices are closed, Gibson Sheat remains open for business to provide its clients with the advice they need in these unprecedented times.

I anticipate that the vast majority of contractors will not be throwing in the kitchen sink on delay costs and letting the contract become a battleground. Pragmatism needs to win the day because it is very likely that none of the current contracts adequately deal with all the financial implications of the current lockdown.

The wording of the lease will be critical to determining rights commercial tenants have to relief from paying rent and outgoings during the lock-down period.

Legal advice is crucial before taking action.

Home-owners who have had their income disrupted by COVID-19 may be entitled to a 6-month mortgage payment holiday, but they should carefully consider whether a mortgage holiday is necessary because it will lead to a greater liability in the future.