ACT
See section 36. A party must not make representations to another party to the lease during negotiations which it knows or should reasonably know are false or misleading in a material particular.
See section 37. If this happens and:
- the lease is entered into because of the negotiations; and
- the injured party suffers damage because of the representation,
the representor is liable to pay reasonable compensation to the injured party.
NSW
See section 10. An injured party may claim reasonable compensation for damage attributable to a false or misleading representation made by the other party with the knowledge that it was false or misleading. This includes a representation made by the landlord in its DS or a representation made by the tenant in its DS that the tenant has sought independent advice.
NT
See section 18. Any party to a retail shop lease is liable to pay the other party reasonable compensation for damage suffered by them attributable to their entry into the lease as a consequence of a false or misleading statement or false or misleading representation, knowingly made by the party or a person acting under the party's authority.
This includes a representation made by the landlord in its DS or a representation made by the tenant in its DS that the tenant has sought independent advice or as to statements or representations relied on by the prospective tenant in entering the lease.
QLD
See section 43AA. Similar to NSW except:
- there is no requirement that the misrepresentation (by or on behalf of the landlord) was made with the knowledge that it was false or misleading; and
- compensation is also payable if the shop is not available for leasing on the date specified in the DS due to the default of the landlord or anyone acting under the landlord's authority.
See section 43A. Compensation is also payable by a tenant, assignor or assignee for a false or misleading statement or representation in a DS.
The compensation provisions do not apply to a periodic tenancy or a tenancy at will, except where the tenant is holding over under a prior lease or with the landlord's consent. See section 42.
SA
See section 12. If a DS contains materially false or misleading information at the time it is given, the tenant may apply to the Magistrates Court for appropriate orders, including orders to void or vary the lease, requiring the payment of compensation and/or an order dealing with incidental or ancillary matters.
TAS
See section 5(1). A person must not make a representation to another party that the person knows is not accurate, truthful and without omission of any material matter at the time it is made.
VIC
See section 17. See below.
WA
See section 6(1)(b). Where a DS either:
- has not been given by the landlord in accordance with the Act; or
- has been given but is incomplete or contains false or misleading information,
the tenant may (in addition to any other rights it may have, including termination as referred to below) apply in writing to the WA SAT for an order that the landlord must pay compensation in respect of pecuniary loss attributable to failure to supply a DS or the supply of a DS with incomplete, false or misleading information.
There is no exoneration of the landlord from paying compensation based on the reason for the incorrect or misleading information and strict liability will remain on the landlord in that regard. Compare with termination below.
Definitions and currency