The rise of robots and their integration into leasehold pharmacies raises a number of practical issues for both the landlord and tenant.
A lease of a pharmacy will contain a number of provisions that may impact on the installation of a robot – principally, if the installation is likely to require the tenant to carry out structural alterations to the property (such as changes to the structural walls, foundations, etc.) the first (and right) question that the landlord and tenant should ask is whether the lease permits structural alterations.
Assuming structural alterations are permitted, it is most likely that the landlord’s consent will be required and tenants are best advised to make an early application to the landlord for its consent with as much supporting information as possible – the landlord will be keen to understand the proposed scope of the works and the likely impact they will have on the building. It is wise for both parties to instruct a surveyor at an early stage – their input into the installation and likely effect on the building is likely to be invaluable.
Assuming that the landlord is happy for the installation to proceed the landlord’s solicitor will issue a licence for alterations. The licence typically sets out detailed rules that the tenant must follow in relation to the alterations and the tenant should have its own solicitor review the draft. It is usual for the tenant to pay the landlord’s costs in relation to the preparation of the licence.
In addition to the licence for alterations, the tenant should check whether planning permission is required for the installation and whether the lease permits it to apply to the local planning authority for permission. It is also good policy for the buildings insurers to be consulted (usually the landlord will insure and the licence will require the tenant to consult with its insurers, although occasionally the tenant will insure should consult directly with its insurers). Moreover the tenant should check that its contractor has adequate third party liability insurance – this may be a requirement of the licence for alterations as well.
The installation of a new robot raises a number of practical concerns in relation to a commercial lease and both the landlord and tenant should seek early legal and surveyor advice on order to protect themselves against potential difficulties.
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