Seanad debates

Wednesday, 2 October 2013

Upward Only Rent (Clauses and Reviews) Bill 2013: Second Stage

 

2:30 pm

Photo of Aideen HaydenAideen Hayden (Labour) | Oireachtas source

I wish to bring the attention of the House to a recent unreported case in 2012 between Ickendel Limited v. Bewley's Cafe Grafton Street Limited, which opened the door for the challenging of many upward only rent review cases. This must be considered, as must the fact that the courts have not ruled on upward only rent review clauses on the basis of public policy and equitable considerations. I also suggest that cases could be taken on grounds of unconscionable clauses in contracts. Many leases were not freely negotiated between equal parties, but by small businesses dealing with large businesses.

There were no issues there about equality. It must be possible to put in place a compensation system that gives us the opportunity we require. This Bill lacks strength in that regard. If one genuinely wants businesses to benefit we must be constitutionally robust. Looking at previous case law, in particular rent control, Madigan and so forth, compensation is the issue. I completely favour the introduction of compensation for businesses where it is quite clear that they have suffered beyond belief concerning the legal system. It should be emphasised, however, that not all businesses have suffered because of this. Many businesses benefited from long periods of rent certainty.

I do not know how much time I have left.

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