Legal Definitions - violent profits

Violent profits is a term used in Scots law, which is the legal system of Scotland. It refers to a specific type of financial penalty imposed on a tenant who unlawfully refuses to vacate and return rented property to their landlord after their right to occupy has ended.

These "violent profits" are not actual profits made by the tenant. Instead, they are a form of penal damages, meaning they are a punitive payment designed to punish the tenant for their wrongful occupation and to compensate the landlord for the inconvenience, delay, and any losses incurred due to the tenant's refusal to surrender the property.

Here are some examples to illustrate this concept:

• Example 1: Residential Overstay

  Imagine a tenant in Glasgow whose one-year apartment lease expires. The landlord has given proper notice that the lease will not be renewed because they plan to move into the apartment themselves. Despite this, the tenant refuses to move out for an additional two months, forcing the landlord to pay for temporary accommodation and incur legal fees to evict them.

  In this scenario, a Scottish court could order the tenant to pay "violent profits" to the landlord. This payment would go beyond just the rent for the two months the tenant overstayed; it would include additional penal damages to punish the tenant for their unlawful refusal to surrender the property and to compensate the landlord for the significant disruption and extra expenses caused by the tenant's wrongful occupation.

• Example 2: Commercial Lease Holdover

  Consider a small business in Edinburgh that has been renting a retail shop unit under a five-year commercial lease. When the lease term ends, the landlord has already secured a new tenant who is ready to move in and begin operations. However, the existing business owner refuses to vacate the premises for three weeks, delaying the new tenant's move-in and causing the landlord to lose rental income from the new agreement.

  Here, the landlord could seek "violent profits" from the commercial tenant. Beyond the rent that would have been due for the three weeks of unauthorized occupation, the court might impose additional damages. These "violent profits" would serve as a penalty for the business owner's refusal to surrender the shop unit, compensating the landlord for the lost opportunity with the new tenant and the disruption caused to their business plans.

• Example 3: Agricultural Land Retention

  Suppose a farmer in the Scottish Borders has been leasing a parcel of agricultural land for grazing livestock. The lease agreement clearly specifies an end date, and the landlord intends to use the land for a different crop rotation that requires immediate preparation. Despite repeated requests and the lease having expired, the farmer continues to graze their livestock on the land for several weeks, preventing the landlord from preparing the soil for the new crop.

  A Scottish court could award "violent profits" against the farmer in this situation. This would not just be the equivalent of the grazing fees for the extra weeks. It would be a punitive sum reflecting the farmer's wrongful refusal to surrender the land, compensating the landlord for the delay in their agricultural plans and any potential loss of income from the delayed crop.