BII CODE OF PROFESSIONAL CONDUCT


Nigel; I agree wholeheartedly with the principle that the tie COULD work if it were administered differently from the way it has been. The problem with this position is that it is not working - because of the abuses we are all too aware of - and there is no way of assuring that it will ever be applied more fairly if it is allowed to stand beyond Compatition Commission scrutiny or block exemption in 2010.

Current major custodians of the tie clearly cannot be trusted to substantially change their behaviour. They were warned in 2004 and they wilfully ignnored the valid observations of TISC and, if anything, steppped up their grip of power over tenants in the intervening years.

Pubcos do not forgive tenant's financial difficulties, they simply evict them - people who struggle to make ends meet precisely because the tie the pubco chooses to apply forces their businesses into failure. This is the reality and it is not sustainable. You know this.

You are right, the Pub Co model COULD work to both sides' benefit - if everyone were as generous in spirit as you - but the problem is it doesn't and - since the advent of Private Equity - it never will.

Pubcos are now scurrying around issuing press releases about the progressive, transparent schemes they've devised for working with tenants. Two months ago thay were slagging off the BEC publication as being the outcome of a kangaroo court. Now they're saying 'oooh, we didn't realise, really, how nasty we really are and now, now that we do, we're rolling out loads of lovely new schemes to try to make amends. Unfortunately we don't believe that applying our new found altruism toward our existing theiving, lying, underachieving lessees can be of any value'. Roll out the TMA's.



are not going to change their behaviour without legislation forcing them to - and enforcing legislation is expensive and subject to constant challenge. Losing the tie is simple and relatively cheap: no need for monitoring or enforcement; it opens a broader market