Application of Act to short-term leases

Application of Act to short-term leases

ACT

See section 12(2)(c). The Act does not apply to leases where the term is less than 6 months unless the lease is a "continuous occupation lease".

NSW

See section 6A. The Act (excluding sections 11-12A) applies to short-term leases where the tenant has been in possession or is entitled to be in possession of a retail shop without interruption for more than 1 year.

NT

No distinction made regarding short-term leases (except leases for a term of less than 6 months which are excluded from the Act).

QLD

See section 20A. Only the interpretation (Parts 1-3) and trading hours provisions of the Act (Part 7) apply to leases where the total term is less than 6 months (including options but excluding holding over).

SA

See section 20B-20C. The minimum 5 year term does not apply to a short-term lease (less than 6 months). Division 3 of the Act - which only applies to leases in a retail shopping centre - does not apply to short-term leases.

The Amendment Act which took effect on 1 July 2020 has clarified that a period of holding over for longer than 6 months also does not imply a new 5 year term.

TAS

No mention of "short-term leases" in the Code.

The Code applies to all "leases" as defined (in section 1) being:

  • any agreement for occupation of retail premises, whether for a term, periodically or at will; and
  • a licence/other agreement to use the common area of a shopping centre for more than 6 months.

Note: The Code refers to "property owner" as opposed to "landlord" or "lessor". “Property owner” is defined as "a person who grants a right of occupancy of premises under a lease".

VIC

No distinction made regarding short-term leases (except leases for a term of less than 1 year and where the tenant is not in possession for 1 year or more are excluded from the Act).

WA

See section 3. The Act applies to all "retail shop leases" whether for a term or by way of periodic tenancy or a tenancy at will and whether or not in writing.

As a result even a monthly lease attracts the Act and will continue to do so.

While the Act applies in all other respects, the statutory option for a guaranteed 5 year term in section 13 does not apply to short-term leases where the same tenant has been continuously in possession of the same premises for an aggregate term of less than 6 months.

Definitions and currency

Currency of information by jurisdiction Definitions

ACT information current as at 1 January 2023

NSW information current as at 1 January 2023

NT information current as at 1 January 2023

QLD information current as at 1 January 2023

SA information current as at 1 January 2023

Tas information current as at 1 January 2023

Vic information current as at 11 April 2023

WA information current as at 1 January 2023

"CMR" means current market rent.

"CMV" means current market value.

"DS" means disclosure statement.

"NCAT" means the NSW Civil and Administrative Tribunal.

"QCAT" means Queensland Civil and Administrative Tribunal.

"RSC" means retail shopping centre.

"RTC" means retail tenancy claim.

"RTD" means retail tenancy dispute.

"SAT" means State Administrative Tribunal.

"SBC" means Small Business Commissioner.

"SRV" means specialist retail valuer.

"VCAT" means Victorian Civil and Administrative Tribunal.

"WA SAT" means the State Administrative Tribunal of Western Australia.