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KS Johal   14 June 2020

Non-payment of rent due to coronavirus of a commercial property.

If a person has not been able to pay rent due to coronavirus what is the situation in terms of the landlord asking the tenant to vacate the commercial property based in Punjab?

The landlord has been insisting that he receives rent even though the government has imposed restriction on the immigration industry, and as a result there is still a lockdown.

What can the tenant do if this is the case?

Can the tenant file an FIR? Or can can the tenant request the court to intervene?

Please provide the best advice and which law is applicable in this case. The payments have not been made due to covid-19 coronavirus and due to lockdown.


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 1 Replies

ABHISHEK PRASAD   14 June 2020

First question is do you intend to pay the dues of rent in future, if it is so then you can always discuss it with the landlord. And if suppose you do not intend to pay rent then the agreement must have some clause covering Pandemic like situation. Otherwise mere commercial hardship or loss of revenue perse doesn't discharge you of the commitment to pay rent as of course Landlord is not a partner to your business to either share your profit or losses as the situation arises. Similar issues also arose before SC and HC in few recent cases where court declined to give any such benefit to the tenant by a blanket order. However you can always try for negotiation with the landlord as for sure they will also find it difficult to get any tenant in this trying times. All the best.

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