Litigation & disputes

Leasing disputes in Victoria.

Rent arrears, repairs, outgoings, breach notices and make good are the four corners of most commercial and retail lease disputes. CMK Legal in Richmond acts for landlords and tenants across Victoria, in the Small Business Commission, at VCAT and in court where the matter belongs there.

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Merits assessed first

The lease, the notice and the regime checked before any step is taken.

Early resolution preferred

Small Business Commission mediation usually listed within weeks, not months.

Costs kept proportionate

Fixed fee for the lease review and advice, with estimates for mediation and hearings.

Victorian courts & VCAT

Retail Leases Act 2003 (Vic), Property Law Act 1958 and VCAT practice.

How leasing disputes are resolved.

The first question in any lease dispute is which regime applies. If the Retail Leases Act 2003 (Vic) covers the premises, the tenant has significant protections, outgoings estimates and reconciliations, restrictions on recovering land tax and certain costs, minimum five-year terms and compulsory disclosure. If it is a purely commercial lease, the written terms largely govern.

The forum matters just as much. Retail tenancy disputes must generally go to the Victorian Small Business Commission for mediation before VCAT will hear them, and the mediation resolves a high proportion of matters at modest cost. Non-retail commercial lease disputes usually proceed in the Magistrates' or County Court, and possession claims have their own procedure.

The most common flashpoints are consistent: arrears and the correct service of a breach notice, repair and maintenance responsibility as between structure and fit-out, disputed outgoings and land tax recovery, rent review mechanisms, refusal of assignment consent on a sale of business, and make good at the end of term, which is frequently the single largest sum in dispute.

Re-entry and lock-out are high-risk. A landlord who takes possession without a valid, properly served notice and a subsisting right of re-entry can face a damages claim for unlawful eviction. A tenant who simply abandons the premises remains liable for rent for the balance of the term, subject to mitigation.

How we approach a lease dispute.

Confirm which regime and forum apply

Retail or commercial, VCAT or court, and whether Small Business Commission mediation is a precondition. Getting this wrong costs months and a strike-out.

Get the notices right

Breach notices under section 146 and the Retail Leases Act have strict content and service requirements. A defective notice is the most common reason a landlord's claim fails.

Negotiate a workable commercial outcome

Payment plans, rent abatement, a surrender with agreed make good, or an assignment to an incoming tenant, usually better for both sides than a vacant shop and a judgment.

Run the hearing where the matter warrants it

Possession, arrears, damages and make good claims prepared with the evidence, condition reports, photographs, quotes and expert material, that VCAT and the courts expect.

Talk to us if.

  • Rent or outgoings are in arrears and a notice is being considered
  • You have received a breach notice or a notice to remedy
  • Repairs or maintenance responsibility is in dispute
  • Outgoings, land tax or a rent review has been incorrectly charged
  • Consent to assign or sublease has been refused or delayed
  • The landlord has changed the locks or is threatening to
  • A make good claim has been made at the end of the term
  • The premises are unusable and the tenant is claiming abatement

Bring the lease, any disclosure statement, the notice you have received or issued and the rent ledger. Those four documents usually settle the advice on the day.

How a lease dispute runs.

  1. 01

    Lease and regime review

    We confirm whether the Retail Leases Act applies, review the terms and advise on rights and risks.

  2. 02

    Notice or response

    A compliant breach notice issued, or a response prepared where a notice has been served on you.

  3. 03

    Small Business Commission mediation

    For retail tenancy disputes, mediation is arranged, a low-cost forum that resolves most matters.

  4. 04

    VCAT or court proceedings

    An application filed in the correct list, with evidence prepared for arrears, possession or make good.

  5. 05

    Resolution and documentation

    Settlement terms, a deed of surrender or a variation prepared so the outcome is enforceable.

Transparent dispute fees.

Reviewing the lease and advising on your position is a fixed fee quoted up front. Breach notices and letters of demand are fixed fee. Small Business Commission mediation, VCAT hearings and court proceedings are estimated stage by stage. Mediation, filing and any expert fees are disclosed separately.

Request a fixed-fee quote

FAQs

Leasing dispute FAQs.

Still unsure? Call us on (03) 9008 7224 and speak to a lawyer, not a call centre.

Does the Retail Leases Act apply to my lease?
It generally applies where the premises are used wholly or predominantly for the retail provision of goods or services, subject to exclusions such as leases to listed companies, certain occupancy costs and specific premises types. The answer determines outgoings recovery, term length and forum, so it is the first thing we check.
Can the landlord lock the tenant out for arrears?
Only where there is a subsisting right of re-entry, any required notice has been validly served and the applicable procedure followed. Unlawful re-entry exposes the landlord to a damages claim, and for retail premises additional restrictions apply.
Who is responsible for repairs?
The lease allocates it, usually with the landlord responsible for structure, roof and base building services and the tenant for the fit-out and day-to-day maintenance. Under the Retail Leases Act, the landlord's obligation to maintain the premises in a condition consistent with their condition at the start cannot be contracted out of.
Can the landlord recover land tax?
Not from a retail tenant, the Retail Leases Act prohibits it, and amounts wrongly charged are recoverable. In a non-retail commercial lease it can be recovered if the lease clearly provides for it.
What is make good and how is it valued?
The tenant's obligation at the end of term to remove the fit-out and return the premises to the required condition. Disputes turn on what the lease and any condition report require, and are commonly settled by a cash payment in lieu based on independent quotes rather than physical works.
The tenant has abandoned the premises. What now?
The landlord can accept the repudiation and terminate, but must then mitigate by attempting to re-let. The former tenant remains liable for the shortfall in rent for the balance of the term plus reasonable re-letting costs, and any guarantor or bank guarantee can usually be called on.

Related services.

Owners corporation disputes

Levies, common property, by-laws, works and committee disputes at VCAT.

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Property disputes

Boundaries, easements, caveats and failed property contracts.

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VCAT proceedings

Retail lease, owners corporation and building matters prepared for the right list.

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Resolve the lease dispute.

Send us the contract, the correspondence or the notice you have received. Start online in a few minutes, or book a consultation and speak to a disputes lawyer the same business day.

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