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Commercial landlords often obtain security from their tenants with respect to their lease obligations.
Such security can take the form of a security deposit, a guarantee/indemnity, a charge on the tenant’s assets by a general security agreement, a specific charge on property, a letter of credit or a combination of those options.
Due to the COVID-19 pandemic and the continuing and growing lockdowns on businesses, it is a virtual certainty that we will see higher rates of bankruptcies in 2021 than we have seen in the past. Those landlords holding security from their tenants need to know if that security will survive bankruptcy of the party that gave it.
After an incredibly tough year and with Christmas fast approaching, we are all looking forward to a more positive 2021. The pandemic has brought heartbreak, worry and frustration and in one way or another, with all our lives having been affected and disrupted. But if there’s one good thing coronavirus has done, it has shed light on how strong our community can be when we all come together. This year, there have been plenty of examples of strong community spirit and lots of feel-good stories have been printed based on kind-hearted individuals who put others above themselves. With that in mind, the Salisbury Journal would like to recognise those people who, in the past few months, have gone out of their way to support their community and play their part.