VIC Vehicle Lease with Company - What are My Property Rights?

[Pothole]

3 years ago, I executed a deed of novation for a vehicle lease with the company I worked for. The company was bought by a larger international company 18 months ago and my employment carried over to them.

Since the buyout, the larger company have repeatedly failed to pay the monthly lease amount to the lease company for my vehicle. They have continued to make deductions to my salary every month. The lease account is now 6 months in arrears and the lease company are refusing to process any claims that I submit for legitimate costs under the lease agreement.

The company I work for are refusing to acknowledge that they are in default, claiming that they are paying according to their standard payment terms. They are also refusing to make payments to the lease company on a monthly basis as is required under the lease agreement.

What are my property rights and what can I do about this under Property Law?

 

[Sophea]

Hi Pothole,

Novated leases are three way agreements so you should be able to enforce your employer's obligations against them as a contractual breach. They are deducting money out of your pay and not doing with it, what they have promised to do. I would press this with them and try to get some sort of paperwork from the car company to prove to them they are not paying it. You could write a letter of demand to your employer - demanding they pay the car lease company immediately - if you want to get tough with them.