Building damages and leases
Building Damage and Leases
Many of the buildings in the Canterbury district have sustained damage as a result of the earthquake and it follows that many of these will be retail premises. If your building is damaged and you are unable to trade, or if you can trade but there are limitations on trading, (because of partial damage to the building or services such a drainage, sewage, water, electricity or telephone), you will need to discuss the matter with your landlord.
Once you have established the extent of the damage to your premises you must read your lease and discuss with your solicitor what action you need to take to cancel the lease or discuss with the landlord any possible variation because of restrictions that impact on your ability to trade. Most leases will include a clause that terminates the lease if the premises can no longer be used as retail premises; most leases will also include provisions that deal with partial restrictions on the ability to be used for retail trading; however in both of these cases you will need legal advice about your options and rights.
Once you have clarified your ability to continue to trade you can then examine your insurance policy and begin to prepare any claim for losses etc. If you have any questions about the process above you are invited to call our freephone 0800 472 472 . If you have any lease questions you should call our leasing consultant John Starr via our freephone or direct on 09 476 6318.
Reinstatement of Damage - Where to start/what to do
To find out where to start/what to do in regards to reinstatement of damage due to the Christchurch earthquake and for NZRA members who have their insurance through the BrokerWeb group click here
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