"We are receiving regular reports that even the largest and highest profile shopping centre landlords, who have charged very high rent for years, are threatening legal action for unpaid rent as soon as the next day after the rent was due.

Many franchisees have no ability to generate income while their premises are inaccessible. They are simply unable to afford to pay. In a very short period of time, this will lead to mass cancellations of leases and loss of businesses as well as other assets owned personally by franchisees, such as the family home.

In some cases, the franchisor holds all head leases and then sub-leases to franchises. The refusal of landlords to negotiate will also lead to the closure of some key New Zealand franchised brands with an enormous cost to the thousands of families who rely on their franchisees’ businesses for employment.

We acknowledge that landlords are also victims of this crisis and many have responded well to the call to share loss between themselves and their tenants. However, we are gravely concerned about the behaviour of some who have generated healthy profits for years and whose attitude to this situation affects a very wide range and number of tenant businesses."

Read the full letter