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Business Tenancies (Fair Dealings) Act 2003
80Unconscionable conduct of tenant in retail shop lease
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80 Unconscionable conduct of tenant in retail shop lease
transactions
(1) A tenant must not, in connection with a retail shop lease, engage in
conduct that is, in all the circumstances, unconscionable.
(2) Without limiting the matters to which the court may have regard in
determining whether a tenant has contravened subsection (1), the
court may have regard to the following:
(a) the relative strengths of the bargaining positions of the tenant
and the landlord;
(b) whether, as a result of conduct engaged in by the tenant, the
landlord was required to comply with conditions that were not
reasonably necessary for the protection of the legitimate
interests of the tenant;
(c) whether the landlord was able to understand any documents
relating to the lease;
Business Tenancies (Fair Dealings) Act 2003 55
(d) whether undue influence or pressure was exerted on, or unfair
tactics were used against, the landlord or a person acting on
behalf of the landlord by the tenant or a person acting on
behalf of the tenant in relation to the lease;
(e) the amount for which, and the circumstances in which, the
landlord could have granted an identical or equivalent lease to
a person other than the tenant;
(f) the extent to which the tenant's conduct towards the landlord
was consistent with the tenant's conduct in similar
transactions between the tenant and other similar landlords;
(g) the requirements of an applicable industry code;
(h) the requirements of another industry code, if the landlord
acted on the reasonable belief that the tenant would comply
with the code;
(i) the extent to which the tenant was willing to negotiate the
terms and conditions of any lease with the landlord;
(j) the extent to which the tenant unreasonably failed to disclose
to the landlord:
(i) intended conduct of the tenant that might affect the
interests of the landlord; and
(ii) risks to the landlord arising from the tenant's intended
conduct (being risks that the tenant should have
foreseen would not be apparent to the landlord);
(k) the extent to which the tenant and the landlord acted in good
faith.