I have a retail lease in a busy shopping centre and rely heavily on foot traffic. The landlord has commenced refurbishment of the area directly outside my shop. It is noisy and partly blocked off which means we don’t get the foot traffic we used to and sales have suffered. What can I do?
Lawyer Answers (1): Answers from lawyers are general preliminary responses. They are not formal legal advice and cannot taken account of all your circumstances. They do not create a lawyer–client relationship.
Answer by Robert Bailey, Adelaide 5000 SA
- Tenants are usually entitled to quiet possession of premises and to be free from disruptions such as:
- shopping centre refurbishments;
- special displays on common property directly in front of your store; or
- placing new temporary installations that get in your way.
- The retail lease legislation in your state or territory may give you additional rights to deal with a landlord interrupting your business.
- The problem may be resolved if you both understand the lease agreement and speak to each other about issues when they arise. This may help to resolve the dispute before it becomes an even bigger problem and save you time and money.
- Laws in each state and territory have procedures to help resolve retail tenancy disputes. These services are intended to save costs and provide a reasonably quick resolution of the dispute.
- You should try to negotiate some form of compensation with your landlord such as extra advertising or a reduction in rent during the refurbishment period.