QLD Commercial lease- Covid and early termination of lease

Australia's #1 for Law
Join 150,000 Australians every month. Ask a question, respond to a question and better understand the law today!
FREE - Join Now

Paul_Sch

Member
6 February 2022
1
0
1
Landlord took possession of commercial lease during negotiations of surrendering the lease.

Rent its paid up to date
Landlord used equipment not owned by him to barricade the doors and took possesion of lessees property as well as hired equipment within the venue.
To date there hasn't been any written termination notice neither by the lessee nor by the lessor.
After requesting access to leased space lessor's staff advised not granting access to lessee.

Questions:
1. is this a repudiation of contract due to being locked and barricaded out? Will this void the lease contract?
2. Lessors claims to keep property of lessee.
3. Landlord claims to recover damages for rent amounts for retainer of lease ( 3 years).
 

Docupedia

Well-Known Member
7 October 2020
377
54
794
The first thing I'd be looking at is whether a Notice to Remedy Breach of Covenant (Form 7) has been given with sufficient notice to remedy the stated breach. Section 124(1) of the Property Law Act states:

"A right of re-entry or forfeiture under an proviso or stipulation in a lase, for a breach of any covenant, obligations, condition or agreement (express or implied) in the lease, shall not be enforceable by action or otherwise unless and until the lessor serves on the lessee a [Form 7] and the lessee fails within a reasonable time after service of the notice to remedy the breach, if it is capable of remedy, and, where compensation in money is required, to pay reasonable compensation to the satisfaction of the lessor for the breach."

If there is a failure to comply with the Act's obligations, an application can be made to the court for relief against the forfeiture.

This isn't an easy self-help area, so I strongly suggest engaging a solicitor with knowledge of commercial disputes and property law.