VIC Whose Responsibility is the Commercial Building Insurance?

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Anita Louise

Well-Known Member
12 July 2017
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Hi,

I would love some clarification on an insurance issue. My ex-husband and I have a restaurant. New tenants have taken over the commercial lease and have done a lot of work on the building, new plumbing, electrics, and gas lines, to name a few.

I have just received an email that their solicitor will be in contact in regards to building insurance as it is our responsibility. My understanding is that it's the tenants' responsibility.

Thanks
 

Rob Legat - SBPL

Lawyer
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16 February 2017
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Generally, insurance of a capital item remains with the owner (i.e. the building). The terms of your lease may allow you to oncharge that the tenant. Ask your solicitor.
 

Anita Louise

Well-Known Member
12 July 2017
23
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121
Hi Rob,

Thanks for your cmments. I have checked the lease and it says-

Building outgoings which the tenant must pay or reimburse:
100% of all building outgoings - council and water rates and insurance.

I'm not a solicitor but it looks like they pay the building insurance.
 

Rob Legat - SBPL

Lawyer
LawConnect (LawTap) Verified
16 February 2017
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Gold Coast, Queensland
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I would suggest you pay it to ensure it is done, and they reimburse you.
 

Anita Louise

Well-Known Member
12 July 2017
23
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121
Thanks, I did get some quotes and gave them the information ages ago. It's only now that they are questioning it.

Anyway that all make sense.