The publication of a commercial bail in the land register primarily makes the rights resulting from the lease enforceable against third parties under the conditions provided by law.
This protection can become particularly important when the rented property is sold. The buyer then becomes the owner of a property already occupied by a tenant, and the registration of the lease can have a significant impact on the rights that this tenant can assert against the buyer.
Without publication, the tenant may be less protected against a purchaser of the building or certain other third parties. Therefore, the fact that the lease is valid between the landlord and the tenant does not necessarily mean that all the resulting rights can be enforced in the same way against a third party.
Publication can be particularly important for fixed-term leases with several years remaining. In certain circumstances provided for by the Civil Code of Québec , a purchaser may have a right to terminate a fixed-term lease that has not been published in a timely manner.
Publication can also be important when a lease includes an option or a right of renewal. In order for this right to be enforceable against third parties, it is important that the lease publication adequately reflects it.
When a renewal option is exercised or the parties subsequently agree to renew, extend or amend the lease, it must also be checked whether a new publication or amendment of the registration is required so that the rights resulting from the new period or the amendments made can be enforced against third parties.
However, simply publishing the lease at any time is not enough. The date of publication can be important , particularly in relation to the date of the property's transfer of ownership and any other rights that may have been registered against it.
Publication is therefore an important protective measure for the tenant, particularly when he wishes to preserve his rights despite a possible sale of the building or during the renewal or extension of his lease.