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Do you have a retail business? Your lease must contain certain clauses to protect you.

If you lease a premises for a retail business in WA, it is likely the Retail Shops Act applies to you.

Specifically, the leases of premises with a lettable area of 1000 square metres or less that are in a retail shopping centre wholly, or not in a retail shopping centre but used for a retail business, are covered by this legislation.

One of the most important applications of this legislation in relation to your lease is upon a redevelopment or relocation clause, which often allows the landlord to terminate the lease early to renovate or redevelop the premises. Such a clause may result in you having to  relocate your business, however, as a general statement, if a lease is covered by the legislation, a landlord must provide alternative premises.

That is just one example of the importance of ensuring your lease was brought under the legislation when drafted, and does not conflict with your legal rights. Other standard lease clauses which have been developed in consultation with the legislation are important to be contained in a lease to protect you as a tenant, as well, but are often not included and can be a source of conflict.

If you are a retail business with a lease, it is wise to have it reviewed periodically by a lawyer to know your rights, potential pitfalls, and prepare for these.

By | 2019-03-07T08:37:59+00:00 March 7th, 2019|Other Commercial|0 Comments

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