bar lease

[aquaman]

A friend has a 7 year lease on a bar here, they have always paid the rent on time. However, the owner of the freehold is bankrupt, will the bank honour their lease. They paid 60,000euros for this, or have they lost everything ? The owner of the freehold also has two apartments and he morgaged these to purchase the freehold of the bar.

[DavidSearl]

FROM DAVID SEARL

FOR AQUAMAN

The bank or any new owner of the premises where the bar is located is bound by law to honour the existing contract of leasehold. If, for example, a Court orders that the bar premises be sold at public auction to satisfy a debt against the owner, the new purchaser will buy the premises complete with leaseholder, who will then pay his rent to the new owner.

Good luck with it, David Searl