Commercial Leases v Residential Leases

May 18, 2023 | Publication

In any dispute involving a lease, it is important to determine if the lease is a commercial lease or a residential lease.

Commercial leases have legislation that is relevant including theConveyancing Act 1919, the Real Property Act 1900 and the Retail Leases Act 1994.

Retail leases are a particular type of commercial lease and have detailed requirements.

For instance, a lessee under a retail lease is not liable to pay any amount to the lessor in respect of any outgoings unless the liability to pay the amount was disclosed in the lessor’s disclosure statement for the lease (section 12A of the Retail Leases Act 1994).

A lessor must not, in connection with a retail shop lease, engage in conduct that is, in all the circumstances, unconscionable (section 62B of the Retail Leases Act 1994).

Residential leases are governed in New South Wales by the Residential Tenancies Act 2010.

This legislation has detailed requirements.

For instance, a residential tenancy agreement cannot have terms relating to a tenant taking out insurance, or that if a tenant breaches the agreement, the tenant is liable to pay all or any part of the remaining rent under the agreement.

The Supreme Court of NSW deals with disputes relating to commercial leases.

The NSW Civil and Administrative Tribunal deals with disputes relating to retail leases and residential tenancies.

For an obligation free discussion regarding your legal requirements, please contact us on 1800 180 500 or emailreception@mcauleylawyers.com.au.

Latest Insights

How is an Easement Created by the Court?

In New South Wales, the Court may make an order imposing an easement over land if the easement is reasonably necessary for the effective use or development of other land that will have the benefit of the easement. Section 88K of the Conveyancing Act...

The Rise of Generative AI in Law and the Need for Caution

Generative artificial intelligence (Gen AI), a subset of artificial intelligence focused on creating new content, has gained significant traction in various industries, including law. Capable of producing text, images, and audio, platforms like ChatGPT are among the...

Australia Introduces Statutory Tort for Serious Invasions of Privacy

The Australian legal landscape is about to undergo a significant transformation with the introduction of a statutory tort for serious invasions of privacy. This change comes with the passage of the Privacy and Other Legislation Amendment Bill 2024 by the Commonwealth...

Building Disputes – Which Court or Tribunal Deals with Them?

In New South Wales, there are different forums to have building disputes and claims addressed. The NSW Civil and Administrative Tribunal handles building disputes particularly residential building work claims.  There are numerous claims prosecuted and defended in...

When should a business take legal action on an overdue account?

Generally speaking, an overdue account should be acted on promptly.  The longer it is left, the greater the likelihood the account will need to be written off. Unless the debtor has a satisfactory reason for delaying payment, the account should be followed...

Court Rules Against Kmart in Personal Injury Appeal

In a recent case, Kmart has been held liable for injuries sustained by a customer in its Woy Woy store, after a mountain bike in a heavy, oversized box fell from another customer's shopping trolley, injuring Ms Rita Marmara. The New South Wales Court of Appeal upheld...