Leasing a property for a shop or business is not as simple as signing a lease contract and paying the rent. Certain factors of your lease may trigger the application of specific laws and rules that you may not be aware of.
In NSW, the government regulates the leases of “retail shops”. The Retail Leases Act 1994 prescribes certain requirements and determines your rights and obligations specific to leases falling within the ambit of a “retail shop lease”. Therefore, before you sign a lease, it is important to know if your lease is governed by the Retail Leases Act 1994 because an appropriate lease is vital to the success (or failure) of your business.
When does the Act apply to your Lease?
The Act applies to your lease if your business is either:
How does the Act define a Retail Shopping Centre?
A “retail shopping centre” means a cluster of premises that has all of the following attributes:
Are there any Exceptions?
The Act does not apply to certain leases, such as:
ClickLaw suggests the following tips:
You should not sign a lease without properly understanding the requirements of the Retail Leases Act 1994, including your rights and obligations under the Act. You can make a well-informed decisions with proper legal advice.
If you would like to discuss anything related to the Retail Leases Act 1994, please don’t hesitate to give us a call here at ClickLaw.
John Kettle