Cafe owner Hayley Dick is locked in a dispute with her landlord over a $29,000 grease trap installation, facing significant legal costs due to the delayed enforcement of the Retail Leases Act 2022.
Hayley Dick has run her own cafe in George Town in Tasmania's north for 18 months. A small business owner is facing a $50,000 legal bill to settle a lease dispute as new Tasmania n laws have not come into effect.
The government says amendments are needed before enacting the "complex" act. It has been four years since the Tasmanian government overhauled the state's retail laws, with one of its aims to help small business owners resolve disputes without going to court. Despite the act passing parliament and receiving royal assent from the governor, only two of the 90 sections have come into effect.
It has left Ms Dick locked in a months-long dispute with her landlord over responsibility for a compliance issue: the installation of a grease trap. Hayley Dick has written to state politicians for help. The Retail Leases Act 2022 reformed the Fair Trading retail laws and regulations legislated in 1998. The laws relate to the rights and obligations of landlords and tenants of those in retail or other business premises.
The Department of Justice says when commenced, the new act will provide powers for a prescribed body to make determinations in relation to certain matters for retail tenancy disputes. Hayley Dick says it has been a frustrating and stressful year dealing with the dispute. She is currently in discussion with lawyers to escalate the issue to court and estimates she may face hefty legal costs.
"Why is it that we don't have anywhere to go to? "Last year, Ms Dick took over the lease of a cafe premises in George Town, in the state's north. A letter from TasWater to the building's owners in February, seen by the ABC, states the building will become non-compliant from August if a 1,000-kilogram grease trap is not installed. A grease trap keeps food scraps and other by-products out of wastewater.
The owners passed the notice to Ms Dick, who says the alteration would cost at least $29,000She believes the responsibility of installing the trap sits with the building's owners.
"Because they keep saying they're not taking responsibility, we have nowhere to go but to the Supreme Court or another court to actually get a ruling on it to be able to get them to do it," Ms Dick said. TasWater is urging the business owners to install a "compliant liquid trade waste pre-treatment system" at the premises.
Instead, they referred the ABC to other lease and business bodies such as The Real Estate Institute of Tasmania or Tenant's Union of Tasmania. Small Business Minister Guy Barnett responded to Ms Dick's unanswered emails after the ABC began making enquiries.
"Although other legislative priorities have affected the timing of this reform, I want to assure you that work to implement the Retail Leases Act 2022 is continuing," he wrote to Ms Dick. "I recognise that court proceedings can be costly and time-consuming, particularly for small businesses. "Hayley Dick is not sure where to turn to resolve the dispute. Responding to ABC questions, Mr Barnett said the government was committed to implementing the act and its mediation arrangements.
"With feedback from a number of stakeholders identifying that further amendments were required and a commitment was made to the Legislative Council to bring the bill back to parliament before it is proclaimed ," he said. "Retail tenancy disputes remain subject to the existing Retail Tenancies Code, and CBOS can assist parties to resolve disputes, including through investigation and negotiation.
"ABC News: Ebony ten BroekeOnce commenced, the new laws would include a range of measures not currently on offer, including mandatory pre-contractual disclosures, the timing and basis for rent reviews, arrangements regarding payment of the landlord's outgoings by the tenant, security deposits and stronger compliance and enforcement powers. "We've already spent months trying to resolve it through lawyers without success. If CBOS-assisted negotiation also fails, the next step is still court," she said.
Launceston Chamber of Commerce's Alina Bain said it was not in the landlords' or tenants' interests to be at odds with each other.
"Any delay in business is undesirable, and courts shouldn't be used as the mechanism to resolve all disputes. "Labor's spokesperson for small business Brian Mitchell raised questions in parliament in August about why the retail leases act had not been fully enacted. Ministers have 15 parliamentary sitting days to respond, which will expire in late November.
ABC News: Kate Nickels"Small businesses like Hayley's are vital in Tasmania's regions and shouldn't have to break the bank to address tenancy disputes,"Upper House independent MLC Rosemary Armitage also noticed it was not the only act to not have come into force.
"While I've been looking into the acts that haven't been proclaimed, I have come across one from 2007, so maybe 2022 is not as bad as I thought," she said. "How many people would realise, though, that even when a bill has received royal assent, it hasn't been fully proclaimed?
" Among the questions put to the government in August were queries about whether the Tasmanian Civil and Administrative Tribunal was among stakeholders consulted in the review process, and what regulations remain to be drafted or finalised before the act can commence.
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