Skip to content
Commercial legal meeting concerning a business lease

Commercial Disputes

Protecting the value 
of the lease.

Commercial and retail leasing dispute lawyers acting for landlords and tenants across Victoria, from rent reviews and arrears to urgent injunctions, re-entry, and VCAT proceedings.

Commercial & Retail Leasing

A lease dispute affects cash flow and control.

A commercial lease allocates income, premises costs, repair obligations, security, use rights and control of the property over an extended term. Disputes about rent reviews, outgoings, repairs, default and handback can affect both the landlord's asset and the tenant's operations.

We advise landlords and tenants in commercial and retail leasing disputes. The first assessment identifies the applicable legal regime, lease provisions, notice history, evidence, urgency and the practical consequence of the proposed remedy.

Commercial shopfront and lease documents
Commercial leasing

Our Services

Leasing dispute practice.

Most commercial leasing disputes fall into recurring categories. Each turns on the lease terms, the evidence, any applicable legislation and the practical consequences of the next step.

Rent Reviews

Disputes over market rent reviews, ratchet clauses, and review mechanisms that have gone wrong. We act in valuation disputes and challenge or enforce reviews under the lease and the Retail Leases Act 2003 (Vic).

  • Market Rent Reviews
  • Ratchet Clauses
  • Valuation Disputes
  • Review Machinery

Rent Arrears & Recovery

Recovery of unpaid rent and other amounts for landlords, and advice for tenants responding to recovery action, including evidence, security, payment proposals and disputed charges.

  • Arrears Recovery
  • Payment Plans
  • Bank Guarantees
  • Security Deposits

Outgoings Disputes

Disputes over recoverable outgoings, annual estimates, reconciliations and supporting records. For retail leases, the Retail Leases Act 2003 (Vic) regulates which outgoings may be recovered and how they must be disclosed.

  • Outgoings Estimates
  • Reconciliation
  • Recoverable Costs
  • Land Tax & Management Fees

Breach & Default

Breach of covenant, unauthorised use, failure to repair, and other defaults. We prepare and respond to breach notices, and advise on the consequences before either side takes an irreversible step.

  • Breach Notices
  • Failure to Repair
  • Permitted Use
  • Default Remedies

Re-Entry & Injunctions

Termination, re-entry, and lock-outs are high-risk on both sides. We advise landlords on lawful re-entry and act urgently for tenants seeking relief against forfeiture and injunctions to regain possession.

  • Lawful Re-Entry
  • Relief Against Forfeiture
  • Urgent Injunctions
  • Lock-Out Disputes

Make-Good & End of Lease

Disputes over make-good, repair and reinstatement at the end of a lease, assessed against the clause, original condition, alterations, depreciation and the evidence of reasonable scope and cost.

  • Make-Good Obligations
  • Reinstatement
  • End-of-Lease Repairs
  • Condition Reports

The Framework

Where leasing disputes are decided.

Commercial leasing in Victoria operates on two tracks. Retail leases are governed by the Retail Leases Act 2003 (Vic), which can override lease terms on matters including disclosure, outgoings and rent reviews. Non-retail commercial leases are governed largely by the lease terms and general law. VCAT's Property practice area hears many retail and commercial tenancy disputes, while some claims and remedies proceed in the courts.

Identifying which regime applies is the first consequential question in a leasing dispute because it affects the rights, remedies, pre-filing process and forum. We make that assessment at the outset and compare the likely cost, timing and practical effect of each available path.

Retail Leases Act 2003 (Vic)

Mandatory protections on disclosure, outgoings, rent reviews, and assignment for retail premises.

VCAT: Property Practice Area

The current VCAT practice area for many retail and commercial tenancy disputes.

Magistrates' & County Court

Recovery, possession, and non-retail commercial leasing disputes governed by the lease and general law.

Supreme Court

Urgent injunctions, relief against forfeiture, and high-value or complex leasing litigation.

Mediation & VSBC

Mandatory pre-VCAT mediation through the Victorian Small Business Commission for many retail disputes.

Who We Act For

Both sides of the lease.

We act for landlords, tenants and other parties affected by commercial leases. Working across both sides of leasing disputes informs how we assess leverage, risk and settlement options.

Landlords

  • Commercial landlords
  • Retail landlords
  • Property investors
  • Owners corporations

Tenants

  • Retail tenants
  • Commercial tenants
  • Franchisees
  • Anchor & SME tenants

Managers & Agents

  • Managing agents
  • Property managers
  • Asset managers
  • Leasing agents

Guarantors

  • Personal guarantors
  • Directors
  • Related entities
  • Incoming assignees

Act Before You Lock Out

Unlawful re-entry can cost a landlord more than the arrears.

Re-entry or termination without a valid right and the required process can expose a landlord to damages and urgent injunction proceedings. A tenant facing lock-out may need immediate advice about relief against forfeiture or restoration of possession. The lease, breach, notice and proposed step should be checked before possession changes.

Common Questions

Leasing disputes, answered.

Landlords and tenants ask many of the same questions when a leasing dispute first arises. Here are the ones we hear most often.

Does the Retail Leases Act 2003 (Vic) apply to my lease?

It depends on the premises and the use, not on what the lease calls itself. The Retail Leases Act 2003 (Vic) generally applies where retail goods or services are supplied from the premises, subject to a number of exclusions (for example, certain large premises and tenants that are listed companies). Whether the statute applies is critical, because it changes your rights on outgoings, rent reviews, disclosure, and which forum hears the dispute. We assess this at the outset of every matter.

As a landlord, can I just lock out a tenant who hasn't paid rent?

Re-entry and forfeiture are available only where the lease and law permit them and the required process is followed. A tenant may seek relief against forfeiture, an injunction or damages depending on the circumstances. The breach, notice provisions, acceptance of rent and any statutory restrictions should be reviewed before the locks are changed.

As a tenant, what can I do if I think my rent review or outgoings are wrong?

The Retail Leases Act 2003 (Vic) regulates market-rent reviews and the recovery, estimation and reconciliation of outgoings. A non-compliant review or charge may be open to challenge, but the available remedy depends on the lease, the statutory requirement and the steps already taken.

Do I have to go to VCAT, or can we mediate?

Retail tenancy disputes generally require the Victorian Small Business Commission process before VCAT. Mediation may resolve the matter through binding settlement terms; if it does not, the Commission may issue the certificate required for a VCAT application. Urgent or jurisdictionally different matters can require another path.

What is a make-good obligation and why is it so often disputed?

Make-good is the tenant's obligation to return the premises in the condition the lease requires at expiry, anything from cleaning to full de-fit and reinstatement. Disputes arise because the clause is vague, the original condition was never documented, or the landlord claims a standard the lease doesn't support. The practical answer is often a negotiated cash settlement; the legal answer starts with the clause, the condition report, and evidence. We act for both sides.

Can the landlord call on my bank guarantee or security deposit?

The right to call on a bank guarantee or security deposit depends on the lease and the security instrument. Some clauses permit broad recourse; others require a specified default or notice. A disputed call may require urgent injunction advice before the bank pays. Landlords should also follow the contractual process closely, because a non-compliant call can become a separate claim.

What can the landlord do if a tenant abandons the premises?

Abandonment may amount to repudiation, but the landlord's response must be considered carefully. Depending on the lease and conduct, the landlord may accept the repudiation, terminate, re-let and claim recoverable loss, subject to mitigation. The notices, election and re-letting steps can materially affect the claim, so advice should be obtained before treating the lease as ended.

What happens if the deadline to exercise an option to renew is missed?

For retail leases, the Retail Leases Act 2003 (Vic) requires the landlord to notify the tenant of the last date for exercising an option within the prescribed period. Late or missing notice can alter the exercise period. Outside the retail regime, strict compliance with the option clause is generally required, although limited relief may be available in some circumstances.

Can a lease dispute be resolved without a hearing?

Often, yes. Many disputes resolve through direct negotiation, the Victorian Small Business Commission process, mediation or a documented settlement deed. The settlement should deal with payment, possession, release, confidentiality, security and future lease obligations.

What documents should I provide for a leasing dispute?

Provide the lease, disclosure documents, variations, assignment documents, rent and outgoings records, notices, correspondence, condition reports, photos, bank guarantee details and any valuation or expert material. The notice history is often as important as the lease wording.