Upward-Only Rent Reviews
Today in the Dáil Lucinda challenged Brian Cowen to face up to the effect that upward-only rent reviews are having on businesses around the country. Although the recent Land and Conveyancing Act introduces a proviso for fair rent in new leases, this has no effect on commercial leases signed before that legislation was enacted.
Lucinda therefore raised the matter with the Taoiseach and got an agreement from him to look at the issue again:
Deputy Lucinda Creighton: The recently enacted Land and Conveyancing Law Reform Act 2009 provided for a change to the upward-only rent reviews that were in place until that time. The Taoiseach is well aware that the legislation is not retrospective due to legal advice which I believe came from the Attorney General.
A letter in today’s The Irish Times by Professor David Gwynn Morgan, who is one of the foremost constitutional lawyers in the country, questions that legal advice. He says it is not unconstitutional to retrospectively address the issue of upward-only rent reviews.
The Taoiseach will be aware that the Grafton Street Tenants’ Association met yesterday morning and it is pleading with the Government to address this issue. The new legislation does nothing for people who find themselves in difficulty right now.
There has been no opportunity to address this issue as it was left out of the recent legislation. This is a very important issue for traders who are struggling to stay in existence and to keep people in employment. I would like to see some action from the Government on the matter.
The Taoiseach: The question of rents and arbitration is being examined. The Government takes its advice on all matters from the Attorney General but I will consider the correspondence.
