RETAILERS in Elgin’s shopping centre are considering legally challenging the building's shock closure in its last remaining days, according to reports.
Businesses were given less than two weeks' notice that the St Giles Centre was set to close after the owners of the building ran out of cash.
The building is due to close its doors for the final time at 5pm on Monday next week, but firms homed in the shopping centre are considering a last-minute legal challenge, the Press and Journal have reported.
According to the newspaper some of the businesses have described the two-week timeframe to vacate the premises and to remove all stock, equipment and fittings as impossible.
It is understood that around 100 jobs are on the line as the shopping centre is home to local independent retailers and national chains.
The pawnbrokers Ramsdens told the Press and Journal it plans on extending its 10-year stay in Elgin after the St Giles Centre closes.
The firm also questioned the way the closure of the shopping centre has been handled as the retailer’s chief executive, Peter Kenyon, believes an administration or liquidation process should have been triggered to allow for a new landlord to be found and the building's future secured.
He said: “The landlord’s intention to close the centre puts it in clear breach of our lease contract, and Ramsdens is assessing the legal options available to pursue this.
“The landlord’s motives behind its decision are not clear.
“In the case of financial difficulty an insolvency process may allow for a change of landlord, saving the centre and maintaining its role as a central hub of the town.
“It is our hope that the landlord and council can act in the best interests of the town’s residents and local economy to reach a solution.
“We remain committed to operating in Elgin and in order to protect our staff and customers, will be exploring options including a potential relocation should our store in St Giles Centre be forced to close.”
According to the Press and Journal other firms within the St Giles Centre have also consulted solicitors about their legal position.
Several other firms have also told the Press and Journal they are still considering their position following WH Smith, Argos and The Works announcement they were closing their Elgin branches due to the news.
However, other chains including Vodafone and Waterstones, have reportedly said they want to remain in the town.
