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RETAIL SHOP LEASES ACT 1994 - As at 1 March 2023 - Act 47 of 1994

RETAIL SHOP LEASES ACT 1994


- As at 1 March 2023 
- Act 47 of 1994 

TABLE OF PROVISIONS

           Long Title

   PART 1 - PRELIMINARY

   1.      Short title

   PART 2 - OBJECT OF ACT AND ITS ACHIEVEMENT

   3.      Object of Act
   4.      How main object of Act to be achieved

   PART 3 - INTERPRETATION

           Division 1 - Standard definitions

   5.      Definitions

           Division 2 - Key concepts

   5A.     Meaning of retail shop lease
   5B.     Meaning of retail shop
   5C.     Meaning of retail business
   5D.     Meaning of retail shopping centre
   6.      Meaning of common areas
   7.      Meaning of outgoings
   9.      Meaning of turnover

           Division 3 - Notes

   9A.     Notes in text

   PART 4 - OPERATION OF ACT AND FORMER ACT

           Division 1 - General application of Act and former Act

   10.     Act binds all persons
   11.     Application of Act—when lease entered into
   12.     Application of Act—where lease entered into
   13.     Application of Act to leases—general
   14.     Application of Act—if premises become or cease to be a retail shop after commencement of lease

           Division 2 - Relationship of Act to retail shop leases

   15.     Act’s provisions implied in leases
   16.     Contracting out of Act prohibited
   17.     Act prevails over inconsistent leases

           Division 3 - Particular retail shop leases

   18.     Definition for div 3
   19.     Application of Act and former Act to former Act leases
   20.     Application of Act, s 27—timing and bases of rent reviews
   20A.    Application of Act to short term retail shop leases
   20B.    Application of Act to particular government leases
   20C.    Application of Act to leases of service stations

   PART 5 - PRELIMINARY DISCLOSURES ABOUT LEASES

           Division 1 - Preliminary

   21.     Application of pt 5

           Division 2 - Disclosure for entering into or renewing lease

   21A.    Application of div 2
   21B.    Lessor’s disclosure obligation to prospective lessee
   21C.    Sublessor’s disclosure obligation to sublessee
   21D.    Franchisor’s disclosure obligation to franchisee
   21E.    Lessor’s disclosure obligation to lessee for renewal
   21F.    Lessor’s failure to comply with disclosure obligation
   22.     Lessor to give lessee the lease document or a certified copy of lease
   22A.    Prospective lessee’s disclosure obligation to lessor

           Division 3 - Disclosure for entering into assignment of lease

   22AA.   Application of div 3
   22B.    Assignor’s and prospective assignee’s disclosure obligations to each other
   22C.    Lessor’s and prospective assignee’s disclosure obligations to each other

           Division 4 - General provisions

   22D.    Financial and legal advice reports
   22E.    Effect of failure to comply with sections 22A–22D
   23.     (Repealed)

   PART 6 - MINIMUM LEASE STANDARDS

           Division 1 - Preliminary

   24.     Lessee’s obligations to make particular payments
   24A.    GST payments

           Division 2 - Turnover rent

   25.     Requirements if rent a percentage of turnover

           Division 3 - Confidentiality of turnover information

   26.     Lessor not to disclose turnover information

           Division 4 - Rent review

              Subdivision 1 - Timing and bases of rent reviews

   27.     Timing and bases of rent reviews

              Subdivision 2 - Current market rent

   27A.    Lessee may require early determination of current market rent
   28.     Rent review on basis of current market rent
   28A.    Parties’ submissions to specialist retail valuer
   29.     Matters to be considered by specialist retail valuers
   30.     Valuer may require information from lessor
   31.     Requirements of determination
   32.     Valuer to give determination to lessor and lessee
   33.     Effect of determination
   34.     Parties to share cost of determination
   35.     Confidentiality of lease information

              Subdivision 3 - Other provisions about rent review

   36.     Certain rent review provisions of leases void
   36A.    Ratchet rent provision void

           Division 5 - Lessor’s outgoings and other payments

   36B.    Definitions for div 5
   37.     Lessee’s liability to pay amount for outgoings
   37A.    (Repealed)
   38.     Lessee’s liability to pay proportion of lessor’s apportionable outgoings
   38A.    Annual estimate of apportionable outgoings
   38B.    Audited annual statement of outgoings
   38C.    Lessor does not give outgoings estimate or audited annual statement
   39.     Payment of key money and amount for goodwill prohibited

           Division 6 - Other payments for retail shops

   40.     Sinking fund for major maintenance and repairs
   40A.    Marketing plan for promotion and advertising
   41.     Promotion and advertising

           Division 7 - Implied provisions for compensation

   41A.    Definition for div 7
   42.     Compensation provisions implied in particular leases
   43.     When compensation is payable by lessor—business disturbance
   43AA.   When compensation is payable by lessor—false or misleading statements etc.
   43AB.   No liability for compensation—emergency responses and statutory compliance
   43AC.   No liability for compensation—trading hours
   43AD.   Lessor’s liability for relocation or demolition
   43A.    When compensation is payable by other parties
   44.     Amount of compensation
   44A.    Limitation of compensation amount

           Division 8 - Lease dealings

   45.     Lessee’s right to deal with lease and business assets
   46.     Lessor’s notice about when option to renew or extend must be exercised
   46AA.   Renewing lease if no option or other agreement

           Division 8A - Provisions about unconscionable conduct

   46AB.   Application of div 8A
   46A.    Unconscionable conduct
   46B.    Matters QCAT may consider in deciding if a party’s conduct is unconscionable

           Division 9 - General

              Subdivision 1 - Relocating lessee’s business

   46C.    Requirements for relocation of lessee’s business
   46D.    Lessor’s relocation notices
   46E.    Termination notice by lessee or deemed acceptance
   46F.    Terms and conditions of new lease
   46G.    Lessee’s entitlement to relocation costs

              Subdivision 2 - Demolishing building in which lessee’s business is situated

   46H.    Provisions implied in retail shop lease
   46I.    How lessor terminates the lease
   46J.    Termination by lessee
   46K.    Compensation payable by lessor

              Subdivision 3 - Other general provisions

   47.     Lessee’s right to independent legal advice
   48.     Liability for costs associated with lease
   49.     Lessee’s right to join or form commercial associations
   50.     Retail tenancy disputes between lessors and lessees about assignments of leases
   50A.    Release of assignor and any guarantor from lease
   50B.    Refurbishment and refitting

   PART 7 - RETAIL SHOP LEASE TRADING HOURS

   51.     Definitions
   52.     Requirements for resolution
   53.     Trading hours
   53A.    Outgoings for trading outside core trading hours

   PART 8 - RETAIL TENANCY DISPUTE RESOLUTION

           Division 1 - Preliminary

   54.     Parties’ rights under this part preserved

           Division 2 - Mediation of retail tenancy disputes

   55.     Lodgement of retail tenancy disputes
   56.     Commissioner to act on dispute notice
   56A.    Person may apply to be joined as a party
   57.     Limited right of representation
   58.     Conference to be held in private
   59.     Parties attendance at conference not compellable
   60.     Mediator may allow interested person to take part in mediation conference
   61.     Mediation agreements
   61A.    Notifying outcome of mediation
   62.     No official record of mediation conference

           Division 3 - Reference of retail tenancy disputes and applications to QCAT

   63.     Reference of dispute—by mediator
   64.     Application to QCAT—by party
   65.     (Repealed)
   66.     (Repealed)
   66A.    (Repealed)
   67.     (Repealed)
   68.     (Repealed)
   69.     (Repealed)
   70.     (Repealed)
   70A.    (Repealed)
   71.     (Repealed)
   72.     (Repealed)
   73.     (Repealed)
   74.     (Repealed)
   75.     (Repealed)
   76.     (Repealed)
   77.     (Repealed)
   78.     (Repealed)
   79.     (Repealed)
   80.     (Repealed)
   81.     (Repealed)
   82.     (Repealed)
   82A.    (Repealed)

           Division 4 - Provision about QCAT orders

   83.     QCAT orders
   84.     (Repealed)
   85.     (Repealed)
   86.     (Repealed)
   87.     (Repealed)
   87A.    (Repealed)
   88.     (Repealed)
   88A.    (Repealed)
   89.     (Repealed)
   90.     (Repealed)

           Division 5 - General

   91.     Withdrawal of disputes
   91A.    (Repealed)
   92.     (Repealed)
   93.     (Repealed)
   94.     Exclusion of other jurisdictions

           Division 6 - (Repealed)

           Division 7 - (Repealed)

   PART 9 - ADMINISTRATION

           Division 1 - Mediators

   95.     Mediators
   96.     Mediators’ function
   97.     Mediators’ jurisdiction
   98.     Resignation
   99.     (Repealed)
   100.    Removal from office
   101.    Annual reports

           Division 2 - Provisions for QCAT proceedings

   102.    Constitution of QCAT
   103.    QCAT’s jurisdiction
   104.    (Repealed)
   105.    (Repealed)
   106.    (Repealed)
   107.    (Repealed)
   108.    (Repealed)
   109.    (Repealed)
   110.    (Repealed)
   111.    (Repealed)
   112.    (Repealed)

           Division 3 - Confidentiality, privilege and immunity

   113.    Mediators and former tribunal members to maintain secrecy
   114.    Ordinary protection and immunity allowed
   115.    Admissions made during mediation conference

           Division 4 - (Repealed)

   PART 10 - MISCELLANEOUS

   118.    Delegations
   119.    Approval of forms
   120.    Evidentiary provisions
   121.    Regulation-making power
   122.    Review of Act

   PART 12 - TRANSITIONAL PROVISIONS

           Division 1 - Provision for Act No. 4 of 2006

   123.    (Repealed)
   124.    (Repealed)
   125.    (Repealed)
   126.    (Repealed)
   127.    (Repealed)
   128.    (Repealed)
   129.    Application of Act
   130.    (Repealed)
   131.    (Repealed)
   132.    (Repealed)
   133.    (Repealed)

           Division 2 - Provision for Criminal Code and Other Legislation Amendment Act 2011

   134.    Transitional provision for s 36A
   135.    Transitional provision for amendment of ss 43 and 44

           Division 3 - Provisions for Retail Shop Leases Amendment Act 2016

   136.    Definitions for div 3
   137.    Proposed retail shop leases before commencement—when lease entered into
   139.    Proposed retail shop leases before commencement—lessor’s disclosure obligation
   140.    Proposed retail shop leases before commencement—prospective lessee’s disclosure obligation
   141.    Proposed assignment of retail shop leases before commencement—assignor’s disclosure obligation to prospective assignee
   143.    Timing and bases of rent reviews of proposed retail shop leases—major lessees
   144.    Early determination of current market rent of proposed retail shop leases—major lessees
   145.    Current market rent determinations of specialist retail valuers agreed to or nominated before commencement
   146.    Certain rent review provisions and ratchet rent provisions—major lessee
   147.    Annual estimate of apportionable outgoings
   148.    Marketing plans for promotion and advertising
   149.    Termination by lessee
   150.    Lessee’s liability for costs associated with preparation of lease before commencement
   151.    Release of assignor for particular assignments of leases
   152.    Particular leases in a retail shopping centre
   153.    (Expired)

           Division 4 - Provision for Court and Civil Legislation Amendment Act 2017

   154.    Particular leases continue to be retail shop leases

           Division 5 - Transitional provision for Justice and Other Legislation Amendment Act 2020

   155.    Existing mediators

           Division 6 - Transitional provisions for Small Business Commissioner Act 2022

   156.    Existing mediators
   157.    Existing dispute resolution proceedings
           SCHEDULE - Dictionary