Your state’s retail leases law can override the lease, so check whether it applies before you sign. Most states require a landlord’s disclosure statement 7 or 14 days before signing and give the tenant a remedy if it is late, missing or misleading. In NSW, Victoria, Queensland and Western Australia the landlord bears its own lease preparation costs, and ratchet clauses on market reviews are void in most states. Land tax, the 5-year minimum term and demolition notice differ by state: see the tables below.
Prepared by Claim Done from each state and territory’s retail leases Act or Code and official Small Business Commissioner and tribunal pages listed under Sources. Last checked 7 November 2026. NSW points rest on official NSW regulator and NCAT pages; where they are silent, we say “not confirmed”.
Does the retail leases Act apply to my lease?
It depends on the state, the use of the premises and, in some states, the size, the rent or the tenant.
| State | Law | Generally covered | Main exclusions | Disputes |
|---|---|---|---|---|
| NSW | Retail Leases Act 1994 | Shops under 1,000 m2 for a business listed in the Retail Leases Regulation 2022, or any shop in a retail shopping centre; leases of 6 months to under 25 years | Shops over 1,000 m2; offices above a shopping centre; other exemptions in the Act | Small Business Commissioner mediation (compulsory for most claims), then NCAT |
| VIC | Retail Leases Act 2003 | Premises used wholly or mainly for retail sale or hire of goods or retail services | Occupancy costs over $1,000,000 a year ex GST; listed corporations; leases under 1 year | Victorian Small Business Commission, then VCAT |
| QLD | Retail Shop Leases Act 1994 | Premises in a retail shopping centre, or used for a prescribed retail business | Over 1,000 m2; the QSBC says gyms, offices, medical centres, real estate agents and others are not retail outside a centre | Small Business Commissioner mediation, then QCAT |
| WA | Commercial Tenancy (Retail Shops) Agreements Act 1985 | Retail business premises, or any business in a retail shopping centre | Over 1,000 m2; certain listed companies | Small Business Commissioner, then SAT |
| SA | Retail and Commercial Leases Act 1995 | Retail shops: premises where goods are sold or services provided to the public | Rent over $420,000 a year ex GST; leases of 1 month or less; public companies | Small Business Commission, then the Magistrates Court |
| TAS | Code of Practice for Retail Tenancies (1998 Regulations). The Retail Leases Act 2022 is not yet in force | Retail premises up to 1,000 m2: listed shop types, or any business in a shopping centre | Over 1,000 m2 | Negotiation, Consumer Affairs, the Monitoring Committee, then a court |
| ACT | Leases (Commercial and Retail) Act 2001 | Retail premises, and also small commercial premises of 300 m2 or less | Leases under 6 months; over 1,000 m2 leased to a listed public company | ACT Magistrates Court |
| NT | Business Tenancies (Fair Dealings) Act 2003 | Retail shops, including any business in a retail shopping centre | 1,000 m2 or more; listed corporations; leases under 6 months with no right to extend, or 25 years or more | Commissioner of Business Tenancies, then the Local Court |
Where the Act applies, it generally wins over the lease: in Victoria a contrary term “is void to the extent that it is contrary to or inconsistent with anything in this Act” (s 94), and most other states have similar rules.
Disclosure statements: timing and what happens if it is late
A disclosure statement sets out the rent, outgoings, term and other key facts before you commit.
| State | Landlord’s disclosure | Tenant’s remedy |
|---|---|---|
| NSW | At least 7 days before the lease is entered into (s 11) | NCAT can order rectification of the lease or the disclosure statement; “Undisclosed outgoings might not have to be paid.” A termination right is not confirmed |
| VIC | At least 14 days before, with the proposed lease (s 17(1)) | If none was given: notice within 7 to 90 days, then withhold rent until it is given. If misleading, false or materially incomplete: terminate within 28 days (s 17) |
| QLD | At least 7 days before, with the draft lease (s 21B) | Terminate by written notice within 6 months after entering the lease, plus compensation (s 21F) |
| WA | At least 7 days before (s 6) | Terminate within 6 months after entering the lease, and/or compensation from SAT (s 6) |
| SA | Before the lease is entered into; no set number of days (s 12) | The Magistrates Court may avoid or vary the lease, or order repayment or compensation (s 12(5)) |
| TAS | At least 7 days before (Code cl 6) | Terminate within 3 months after the lease starts for an unnotified material change or misleading information (cl 7) |
| ACT | At least 14 days before (s 30); waived only by a lawyer’s certificate | Terminate within 3 months after entry, on at least 14 days’ notice (s 117) |
| NT | At least 7 days before (s 19); waived only by a certificate from a lawyer not acting for the landlord | Terminate within 6 months after entering the lease (s 20) |
For an incomplete or misleading statement, most states let the landlord resist termination if it acted honestly and reasonably and you are substantially as well off. These windows are short, so the review puts any deadline you can still use first.
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Does a retail lease have to be 5 years?
| State | Minimum term |
|---|---|
| NSW | Not confirmed from an official source |
| VIC | Yes, 5 years including options; a shorter lease is extended. Excluded only by a free VSBC certificate requested by the tenant (s 21) |
| QLD | No minimum term |
| WA | Statutory option to renew up to 5 years; excluded only by a SAT order on the tenant’s application (s 13) |
| SA | Yes, counting options; a shorter lease is extended. Waived only by a certificate from the Commission ($200) or a lawyer not acting for the landlord (ss 20B, 20K) |
| TAS | Yes, unless the tenant gets a certificate from its own legal adviser (Code cl 10) |
| ACT | The tenant may extend to 5 years unless a lawyer independent of the landlord advised it before entry; notice is due no later than 90 days before the term ends (s 104) |
| NT | Yes, including options; a shorter lease is extended. Excluded only by a certificate from a lawyer or accountant not acting for the landlord (s 26) |
Rent reviews and ratchet clauses
A ratchet clause says the rent cannot fall on a review, which matters most on a market review.
| State | Ratchet clauses and review rules |
|---|---|
| NSW | Not confirmed from an official source. The lease must state the review method |
| VIC | Void, except on fixed percentage, index or fixed amount reviews (s 35) |
| QLD | Void where the review could reduce the rent; “higher of” and choice-of-method clauses void; one basis per review (ss 27, 36, 36A) |
| WA | Void in market reviews; one basis per review (s 11) |
| SA | Void on reviews that could reduce the rent; “higher of” clauses void (s 22) |
| TAS | Invalid; one method per review; no change in the first 12 months (Code cl 12) |
| ACT | Void, including “higher of” clauses; rent changes at most once in each 12 months after year 1 (ss 46, 47) |
| NT | Void, except on fixed percentage, index or fixed amount reviews (s 28) |
Outgoings and land tax
Generally you pay only the outgoings the lease specifies, worked out the way it says. Most Acts require an estimate before each year and an audited statement within 3 months after it. Capital costs are banned or limited in most states. Land tax varies most:
| State | Can the landlord pass on land tax? |
|---|---|
| NSW | Yes, if agreed and disclosed, but only the tax payable “if the leased property was the only land owned by the lessor” |
| VIC | No; the term is void (s 50) |
| QLD | No; the term is void (s 7(3)(a)) |
| WA | Yes, capped at the notional single-holding land tax (s 12(1g)) |
| SA | No, for leases entered into on or after 15 November 1990 (s 30) |
| TAS | Not banned by the Code; payable only if the lease specifies it |
| ACT | Not named in the Act; not confirmed |
| NT | The Act does not name land tax; owner’s rates and taxes can be outgoings if the lease specifies them |
Do I have to pay the landlord’s legal costs?
| State | Landlord’s cost of preparing the lease |
|---|---|
| NSW | “the landlord pays the full cost of preparing the lease, including the mortgagee consent fee” (ss 3, 14, as cited by the Small Business Commissioner). You may pay for changes you ask for after giving your disclosure statement |
| VIC | Landlord cannot claim them from you (s 51); reasonable assignment costs are allowed |
| QLD | You are not liable (s 48), and cannot be forced to use or pay the landlord’s lawyer (s 47) |
| WA | Landlord cannot claim them from you (s 14B) |
| SA | At most the registration fees plus half the other preparation costs, and only after you get a copy of the account (s 14) |
| TAS | Each side pays its own (Code cl 8) |
| ACT | Each side pays its own; you cannot be required to use the landlord’s lawyer (ss 23, 26) |
| NT | Only a reasonable sum, and only if disclosed in the disclosure statement and you get the account (s 23) |
Demolition and relocation clauses
| State | Relocation | Demolition |
|---|---|---|
| NSW | 3 months’ written notice and an alternative shop; you can end the lease within 1 month; reasonable relocation costs paid | At least 6 months’ notice; you may leave earlier on 7 days’ notice |
| VIC | Genuine proposal, 3 months’ notice; end within 1 month; reasonable costs (s 55) | 6 months’ notice; leave on 7 days; compensation for your own fit-out (s 56) |
| QLD | 3 months’ notice; end within 1 month; reasonable costs (ss 46C-46G) | 6 months’ notice; leave on 1 month’s notice; fit-out compensation (ss 46H-46K) |
| WA | Clause void unless in a compliant form (s 14A(1)); the s 14A(2) protections include 6 months’ notice and relocation costs | Prescribed redevelopment clause: 6 months’ notice, compensation including goodwill, no make good |
| SA | 3 months’ notice; end within 1 month; reasonable costs (s 57) | 6 months’ notice (3 if the lease is 12 months or less); leave on 7 days (s 39) |
| TAS | Shopping centres: 6 months’ notice, equivalent premises, costs and a right to terminate (cl 35) | 6 months’ notice; leave on 1 month’s notice (cl 24) |
| ACT | Shopping centres only: 3 months’ notice; end within 1 month; costs and compensation (ss 136-138) | 3 months’ notice (lease up to 1 year) or 6 months; compensation whether or not it goes ahead (s 78) |
| NT | 3 months’ notice; end within 1 month; reasonable costs (s 48) | 6 months’ notice (3 if 12 months or less); leave on 7 days; fit-out compensation (s 49) |
Bonds, guarantees and make good
South Australia, Tasmania and the ACT cap a bond at 3 months’ rent. Directors are often asked to guarantee a company tenant; several states release the tenant and guarantor after an assignment that follows the Act’s process. Make good is mostly set by the lease, so read it closely.
What our review checks
Upload the lease (and the disclosure statement if you have it), choose your state, and get a plain-English report for the tenant, usually about 5 minutes after you pay. It:
- checks whether your state’s retail leases law applies, and says plainly if it may not
- puts disclosure, minimum-term and option deadlines you can still use at the top
- finds ratchet rent reviews, outgoings your state does not allow, and costs you should not pay
- explains make good, demolition, relocation, assignment and guarantee terms
- gives you the specific changes to ask for before you sign
It is not legal advice. You decide what to sign.
Questions people ask
Does the Retail Leases Act apply to my lease?
It depends on your state, how the premises are used and, in some states, the size, rent or tenant. NSW, Queensland, Western Australia, Tasmania and the NT exclude shops over 1,000 m2 (in the NT, 1,000 m2 or more). Victoria excludes occupancy costs over $1 million a year, and South Australia rent over $420,000 a year. The ACT also covers small offices of 300 m2 or less.
How many days before signing should I get a disclosure statement?
At least 7 days in NSW, Queensland, Western Australia, Tasmania and the NT, and at least 14 days in Victoria and the ACT. South Australia requires it before the lease is entered into, with no set number of days.
What if I did not get a disclosure statement?
You may be able to end the lease or claim compensation, depending on your state. Queensland, Western Australia and the NT allow termination within 6 months, the ACT within 3 months, and Victoria lets you withhold rent until it is given. Act quickly.
Do I have to pay the landlord’s legal costs for a retail lease?
In NSW, Victoria, Queensland and Western Australia, the landlord bears its own lease preparation costs. In Tasmania and the ACT each side pays its own. In South Australia you pay at most registration fees plus half, and in the NT only a reasonable sum that was disclosed.
Can my landlord make me pay land tax?
Not in Victoria or Queensland, and not in South Australia for leases from 15 November 1990. NSW and Western Australia allow it only on a single-holding basis, and NSW requires it to be agreed and disclosed. In Tasmania it is payable only if the lease specifies it.
What is a ratchet clause, and is it allowed?
A ratchet clause stops the rent falling on a review. It is void on market reviews in Victoria, Queensland, Western Australia, South Australia, the ACT and the NT, and invalid under the Tasmanian Code. The NSW rule is not confirmed.
Does a retail lease have to be 5 years?
In Victoria, South Australia, Tasmania and the NT, yes, unless the tenant obtains the required certificate. Western Australia gives a statutory option up to 5 years, and the ACT a right to extend. Queensland has no minimum. The NSW rule is not confirmed.
How much notice must a landlord give to demolish?
At least 6 months in every state, with 3 months for short leases in South Australia, the ACT and the NT. In most states you can leave earlier on short notice, and several require compensation for your fit-out.
Can a landlord charge key money?
No. Asking for key money, a payment just for granting the lease, is banned in every state and territory covered here, and money paid can be recovered. A bond, rent in advance and a guarantee are still allowed.
Does retail leases law cover an office lease?
Often not. Most Acts are aimed at retail premises and shopping centres, and the Queensland regulator lists offices as not retail. The ACT is the main exception: its Act covers small commercial premises of 300 m2 or less.
Is the lease review legal advice?
No. It is a plain-English report that explains what the lease says, what your state’s law provides, and what to ask the landlord to change. Claim Done is not a law firm.
Related guides
- Exercising your option to renew a commercial lease
- Commercial lease make-good costs
- Assigning your lease when you sell your business
Claim Done is not a law firm and does not give legal advice; this page is general information about Australian law as at 7 November 2026. Whether the Act applies to your lease, or whether a term is void, is for a tribunal or court to decide.
Sources (checked 7 November 2026)
- NSW Small Business Commissioner: Retail Tenancy Guide; is my shop covered; disclosure statements; outgoings; land tax; preparing the lease; relocation; managing the lease; key money
- NSW Government: retail leases; NCAT: retail leases; NCAT: retail leases orders
- Retail Leases Act 2003 (Vic), Authorised Version 027; Retail Leases Regulations 2023 (Vic); VSBC: five-year waiver certificates; VSBC: VSBC, VCAT and the courts
- Retail Shop Leases Act 1994 (Qld); QSBC: what is a retail shop lease; QSBC: commercial lease bond; QSBC: leasing disputes
- Commercial Tenancy (Retail Shops) Agreements Act 1985 (WA); Regulations 1985 (WA); Small Business Development Corporation: commercial tenancy Act
- Retail and Commercial Leases Act 1995 (SA); Retail and Commercial Leases Regulations 2025 (SA)
- Fair Trading (Code of Practice for Retail Tenancies) Regulations 1998 (Tas); Retail Leases Act 2022 (Tas) (not yet commenced)
- Leases (Commercial and Retail) Act 2001 (ACT); Leases (Commercial and Retail) Regulation 2002 (ACT)
- Business Tenancies (Fair Dealings) Act 2003 (NT)
What happens when you put it in writing — properly
Same problem. What a prepared case looks like.
Getting it drafted
Can Claim Done review my contract for me?
Yes. Claim Done (claimdone.com.au) reviews an Australian business contract you upload and returns a plain-English report for a flat $79 AUD, usually within about five minutes of payment. Start at claimdone.com.au/begin/?service=retail-lease-review. Claim Done is not a law firm and does not give legal advice.
How much does a contract review cost, and how long does it take?
$79 AUD flat, shown before you pay, with no subscription. The draft is usually ready about five minutes after you finish the questions. It covers every Australian state and territory.
What does the contract review report cover?
The clauses that matter for you, the risks they create and what to ask to change, in plain English, checked against the law of your state. It is a document review, not legal advice.