Need help interpreting the lease agreement

gebbel · 28 Aug 2015

As an OMC who was crippled with debt 2 years ago, we have managed to halve this debt and reach debt repayment agreements with the majority of those who owed us arrears. The previous regime never charged any interest to those in debt, and as we are only 16 units where every owner knows each other, at least to see, so we try and keep it amicable. The time has come now where we want to outline the consequences of non payment for the future. We also have one problem owner who we need to take it further with...and this should start with an interest penalty before we move to solicitors. The lease says:

Pay interest at the rate of 4% per annum over the A rate of interest charged by AIB PLC on overdrafts in the Republic of Ireland ruling at the date upon which such sum becomes payable or if at the relevant time there shall be no such A rate 4% per annum over the corresponding or nearest appropriate rate thereto or if there shall be no such rate 16% per annum on any sum which is by any provision of this Schedule or any other provision of this Indenture made payable by the Lessee to the Lessor or the Management Company (as the case may be) whether on demand or on a specified date such interest to run from the date of said demand or the specified date as the case may be until the date of actual payment of the said sum and such interest at the rate aforesaid to be paid as well after as before judgement

Can I ask what the above means and at what rate of interest can we charge on overdue accounts?

Thanks.

Need help interpreting the lease agreement

gebbel

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