11/3/03
The State Government today moved a step closer to meeting its election commitment to improve the commercial tenancy rights of small business retailers by releasing a report into the Commercial Retail Tenancy (Retail Shops) Agreements Act.
The report, produced by a special Review Committee established by Small Business Minister Clive Brown, makes recommendations on issues including the applicability and operation of the Act, disclosure, dispute resolution and fair dealing between landlords and tenants.
The Review Committee was appointed to conduct a review of the Commercial Retail Shops Agreements Act 1985 and to report to the Minister on the results of the review by February 28.
Acting Small Business Minister John Kobelke said the report contained 61 recommendations and drew from consultation with tenants, landlords, key stakeholders and other interested bodies.
"This report is a follow-up to an issues paper which was released in October 2002 and we are on target to introduce amendments to the legislation during this term of government," Mr Kobelke said.
"I sincerely thank the many individuals, industry stakeholders and other interested bodies who contributed their valuable input to the review."
Recommendations of the Review Committee include:
- an unconscionability provision which specifically pertains to commercial tenancies be incorporated into the Act;
- the Minister to prescribe by regulation from time to time, standard format clauses that address specific areas of concern. These clauses are to be used as a guide only without compulsion upon the parties to utilise the standard clauses;
- removal of the 1,000sq.m exemption;
- on request, a valuer appointed to determine the market rent for a retail shop be supplied with all relevant information about leases for retail shops situated in the same building or retail shopping centre to assist the valuer determine the rent; and
- the disclosure statement be recognised as a pivotal document in retail leasing matters in Western Australia with more items requiring specific disclosure.
The State Government is yet to consider the report and has not committed to its recommendations.
"I recognise that there are differing views on some issues contained in this report, but the Government is committed to achieving a balanced outcome," Mr Kobelke said.
"I want to encourage industry stakeholders, other interested bodies and the general public to have their say on the report's recommendations before we develop amending legislation in this important business area."
Mr Kobelke said the report would be released for comment.
Submissions should be addressed to the Office of the Minister for State Development; Tourism and Small Business, Level 19, 197 St George's Terrace, Perth, WA 6000.
Copies of the report can be obtained free of charge from the Small Business Development Corporation on (08) 9220 0222, fax (08) 9221 1132 or e-mail
The report will also be available on the Small Business Development Corporation's website at
http://www.sbdc.com.au/ct The closing date for comment is April 18.
Minister's office 9222 9699
