Should commercial tenant pay for Periodic Electric Condition Report?Make Text Bigger
We own a commercial building of roughly 6000 square foot. We bought this building in June 2014 for the purposes of relocating our business to this building.
We sold the business in June 2015 to a company who not only bought the business but decided to lease the building from us.
Our present insurers have made it a condition of our renewal that we have an electrical condition report done.
The tenant has replied to our request to get the report done by saying that; ‘As the previous report expired in March 2014 they are not willing to pay for the report at this time as they believe it should have been done before the lease was put in place. They have confirmed that going forward they would be happy to pay for the report but as the report expired prior to them occupying the building they do not believe it should be their responsibility.’
The terms of the lease says that, ‘the tenant is responsible for service media, maintenance, and repairs. Service media being the lifts and lift machinery and equipment and all the media for the supply or removal of heat, electricity, gas, water, sewage, air conditioning energy, telecommunications, data and all services and utilities and all structures, machinery and equipment ancillary to those media.’
Therefore, we believe the tenant is be responsible for carrying out and paying for this report and any recommendations found in this report. We also believe that if they had any concerns they should have raised them whilst they were doing there due diligence.
Can anyone please advise?
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