Managing Commercial Leases During Succession

Dealing with the loss of a family member who managed a business or professional activity is a delicate time, involving not only emotional strain but also the need to make quick decisions regarding the business assets. Among the most urgent issues is often the fate of the premises where the business operated. As an expert lawyer in succession law in Milan, Avv. Marco Bianucci understands how crucial it is to preserve operational continuity and the value of business goodwill in these circumstances.

Many heirs wonder about the fate of the lease agreement for the premises: does it automatically expire with the death of the tenant? Can the landlord impose eviction? Italian law protects the continuity of the business, but it is essential to proceed with precision to ensure the correct takeover of the lease agreement and avoid disputes with the property owner.

The Regulatory Framework: The Heirs' Right of Subrogation

The relevant legislation, particularly Article 37 of Law 392/1978 (Law on Fair Rent), establishes a fundamental principle to protect economic activity. In the event of the death of a tenant of a property used for purposes other than residential (commercial, artisanal, or professional), the heirs have the right to take over the lease agreement if, and only if, they continue the deceased's business activity.

This right also extends to cases where the activity is continued by only one of the heirs or if the contract is transferred to third parties along with the business. It is important to note that the takeover does not necessarily require the landlord's consent (the owner of the premises), but it must be formally and promptly communicated. Failure to follow the correct procedure can expose the heirs to the risk of contract termination or the loss of fundamental rights, such as compensation for loss of goodwill in case of future cessation.

The Bianucci Law Firm's Approach to Commercial Succession

The Bianucci Law Firm handles commercial succession cases with an analytical and strategic method. The goal of Avv. Marco Bianucci, an expert lawyer in successions in Milan, is to secure the legal position of the heirs, whether they intend to continue the business or aim to sell the company to third parties by leveraging the existing lease agreement.

The firm's intervention is divided into several phases: from a thorough analysis of the original lease agreement to verifying the requirements for the takeover, up to the formal management of communications with the property owner. In fact, landlords often try to take advantage of the succession event to renegotiate rents or contractual conditions. The experience gained by Avv. Bianucci allows for anticipating these critical issues, protecting the heirs' interests, and ensuring that the generational transfer or the liquidation of the business occurs in full compliance with legal protections.

Frequently Asked Questions

Can the landlord increase the rent for the heirs taking over?

No, the takeover by succession in a commercial lease agreement occurs under the same conditions stipulated by the deceased. The landlord does not have the right to unilaterally change the rent or the duration of the contract by using the death of the original tenant as a pretext for renegotiation, unless the contract has naturally reached its expiry date.

What happens if the heirs do not wish to continue the business?

If none of the heirs intend to continue the commercial or professional activity, the right to automatic takeover may not materialize in the same way. However, the heirs can consider transferring the business (or a part of the business) to a third party; in this case, the lease agreement can be transferred along with the business itself, ensuring the acquiring third party has the use of the premises. This is a procedure that requires legal attention to release the heirs from future responsibilities.

Is a new written contract necessary for the takeover?

It is not mandatory to enter into a new contract, as the heirs take over the existing contract.