LEASES (COMMERCIAL AND RETAIL) ACT 2001 - SECT 38 Key money prohibited
LEASES (COMMERCIAL AND RETAIL) ACT 2001 - SECT 38
Key money prohibited(1) The lessor must not ask for or accept key money for—
(a) the grant of a lease; or
(b) the extension of a lease under an option; or
(c) the renewal of a lease; or
(d) the consent to an assignment, sublease or mortgage of a lease; or
(e) the assignment, sublease or mortgage of a lease.
(2) If key money is accepted by the lessor in contravention of this section, the amount paid, or the value of the benefit given, to or at the direction of the lessor is recoverable as a debt owing by the lessor to the tenant.
(3) Subsection (2) does
not limit any other remedy of the tenant for the contravention.