General

Act quickly - time is of the essence

In commercial property rent review, the phrase “time is of the essence” is a legal term that emphasises the importance and strict adherence to the specified time frames and deadlines related to the rent review process.

This simple clause has potentially significant consequences, such as the loss of the actual review of the rent or potential legal disputes, says our Director James McArthur.

In practical terms, “time is of the essence” means that all parties must act promptly and diligently to complete the required tasks set out in the lease within  prescribed time limits. This could involve submitting rent review notices, responding to proposals, providing supporting documentation, or pursuing any dispute resolution procedures.

When this clause is used, the aim is to create a sense of urgency and ensure that both parties meet their obligations promptly, ultimately facilitating a smooth and efficient rent review .

The exact interpretation and consequences of “time is of the essence” can vary depending on the jurisdiction and the specific terms of the lease agreement so, it’s always advisable to seek legal advice from an experienced commercial property solicitor to fully understand the implications in your specific situation.

When this clause is absent from the lease then there is no set deadline to agree the rent review.

For more information, call 0115 958 8599 or email James to have a chat.