Dalco Realty Pty Ltd v Chun [2024] QCATA 123
QUEENSLAND CIVIL AND
ADMINISTRATIVE TRIBUNAL
CITATION:
PARTIES:
APPLICATION NO/S:
ORIGINATING
APPLICATION NO/S:
MATTER TYPE:
DELIVERED ON:
HEARING DATE:
HEARD AT:
DECISION OF:
Dalco Realty Pty Ltd v Chun [2024] QCATA 123
DALCO REALTY PTY LTD
(applicant/appellant)
v
SUNGMIN CHUN
(respondent)
APL118-23
Claim 154/22 Bundaberg
Appeals
18 November 2024
On the papers
Brisbane
Judicial Member D J McGill SC
ORDERS: Application for leave to appeal from the decision of
the Tribunal of 24 March 2023 is dismissed.
No order as to costs.
CATCHWORDS: LANDLORD AND TENANT – RESIDENTIAL
TENANCIES LEGISLATION – REGULATION OF
RENT INCREASES – Lease agreement for a term –
whether valid term for rent increase – whether increased rent
payable under agreement to terminate tenancy agreement
early – whether tenancy agreement terminated – whether
obligation to pay increased rent after termination – former
tenant entitled to recover overpaid rent
Residential Tenancy and Rooming Accommodation Act
2008 (Qld) s 91, s 277
Fogarty v Hughes [2024] QCAT 273
Hiscox v P B G Realty [2019] QCATA 112
Kiriri Cotton Co v Dewani [1960] AC 192
Lobato v Gardian Real Estate Pty Ltd [2021] QCATA 130
APPEARANCES &
REPRESENTATION:
This matter was heard and determined on the papers
pursuant to s 32 of the Queensland Civil and Administrative
Tribunal Act 2009 (Qld)
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REASONS FOR DECISION
[1] On 23 November 2022 the respondent filed in the Tribunal an application for a minor
civil dispute – residential tenancy dispute, naming as respondent the appellant.1 The
respondent sought payment of most of the rental bond from the Residential Tenancy
Authority (“RTA”), and to recover what was described as wrongly paid increased rent,
although the reasons for the claim also sought in effect a declaration that no more
money was owing, and compensation for difficulties caused to the respondent, in no
defined amount.
[2] On 24 March 2023 the application came on for hearing before a Member in
Bundaberg.2 At the end of the hearing the Member ordered that the bond be paid, as
to $1,360 to the respondent and as to $140 to the appellant, and that the appellant pay
the respondent $1,178.76 as overpaid rent, and the filing fee of $130.17. The Member
also said that the respondent was not liable to pay rent for the period after he vacated
the property. The Member gave written reasons for the decision.
[3] On 20 April 2023 the appellant filed in the Tribunal an application for leave to appeal.
Because the proceeding was a type of minor civil dispute, the appellant requires the
leave of the Appeal Tribunal in order to appeal.3 Leave is usually only granted where
there is a reasonable argument that there is an error which should be corrected and an
appeal is necessary to correct a substantial injustice to the applicant,4 although it may
also be granted when the application raises an issue of general importance on which
the decision of the Appeal Tribunal would be useful.5 The requirement for leave to
appeal reflects a legislative intention that ordinarily parties to a minor civil dispute
will be confined to one judicial determination of the dispute.
Background
[4] The parties entered into a General Tenancy Agreement in Form 18(a) dated 2
December 2021 in respect of residential premises for a fixed term from 1 December
2021 to 30 November 2022, at a rent of $425 per week. The tenancy and the
agreement were subject to the Residential Tenancy and Rooming Accommodation Act
2008 (Qld) (“the Act”). Part 3 of the agreement included a number of special terms,
one of which said: “A rent review of the property will be conducted every six (6)
months – 30/5/2022.” The agreement however contained no information as to the
basis on which the review was to occur.
[5] The agreement also contained the following terms:
2 Terms of a general tenancy agreement:
[(1) and (2) refer to the standard terms of the agreement, and the Act.]
1 I shall for convenience identify Dalco Realty Pty Ltd as the appellant, and Sungmin Chun as the
respondent.
2 A Magistrate sitting as a Member of the Tribunal under the Queensland Civil and Administrative
Tribunal Act 2009 (Qld) (“the QCAT Act”) s 171(2).
3 The QCAT Act s 142(3)(a)(i).
4 Berry v Commissioner of Police [2015] 1 Qd R 388 at [4]; Crime and Corruption Commission v Lee
[2019] QCATA 38 at [12], citing appellate authority. See also Campbell v Queensland Building and
Construction Commission [2021] QCATA 34 at [17].
5 Allen v Queensland Building and Construction Commission [2024] QCA 24 at [21]. I am also
conscious of the qualification to that general statement at [22], adopting the discussion of an analogous
provision in Commissioner of Police v Antonailli [2021] QCA 237 at [105] – [115].
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(3) The lessor and tenant may agree on other terms of this agreement (special
terms).
(4) A duty or entitlement under the Act overrides a standard term or special term
if the term is inconsistent with the duty or entitlement.
(5) A standard term overrides a special term if they are inconsistent.
10 Rent Increases – ss 91 and 93
[(1) – (4) dealt with increases for a periodic tenancy.]
(5) However, if this agreement is a fixed term agreement, the rent may be
increased before the term ends only if a special term –
(a) provides for a rent increase, and
(b) states the amount of the increase or how the amount of the increase
is to be worked out.
(6) A rent increase is payable by the tenant only if the rent is increased under
this clause.
[6] The appellant emailed the respondent on 27 May 2022 stating relevantly “in
accordance with your lease there will be an increase to $550 per week, effective from
30/05/2022.” In his application the respondent stated that he made a dispute resolution
request about this to the RTA, and that body recommended that the parties negotiate.
The respondent said that there was an agreement with the appellant under which the
tenancy would be terminated by agreement, he would pay the increased rent until he
moved out, but that he would not have to pay anything else.
[7] This was recorded in an exchange of emails between a friend of the respondent with
better English who was helping him, and a director of the appellant. On 26 July 2022
the friend of the respondent emailed the appellant as follows:
I am writing a letter to confirm what we discussed last week and yesterday
regarding tenancy at [address] on behalf of the residents. I initially informed
you last week on 20 July 2022 that if the landlord will kindly agree we would
like to break the lease under mutual agreement and vacate the property on 5
August 2022. Also, with regards to the rent increase, I have suggested that, if
the landlord will agree, we would like to settle the amount at the rate of $425
per week for two months from 1 June 2022 and one week rent of $550.
Yesterday you have informed me that the landlord is happy to break the lease
without any extra costs (ie re-letting fees, cost for advertising etc) but he still
wanted the rent amount to be calculated as $550 per week from 30 May 2022.
I have asked for you to send me an exact calculation of the overall amount that
the resident … has to pay to settle the account in the landlord’s view. I believe
that the calculation will be similar to what I have estimated below:
$550 x 10 weeks (from 30 May 2022 to 8 August 2022) = $5500.
To subtract 3 days worth of rent ($550 /7 x 3) = $235.71
$5500 - $235.71 = $5,264.29
Amount that has been paid so far from the resident since 30 May 2022
$425 x 8 weeks = $3400
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As discussed, I will wait for you to send me the exact amount based on your
records soon. Meanwhile, I will discuss the details of our discussion with the
residents … and ask how they want to proceed.
[8] Later the same day the appellant emailed the respondent’s friend as follows:
Please be advised there is no break lease fee or advertising.
Rent calculated on a daily basis 31 May to 5 August 2022 (66 days)
$550 per week $78.57 per day times by 66 days = $5185.62
425 per week $60.71 per day times by 66 days = $4006.82
Amount owing $1178.76.
[9] In the application to the Tribunal the respondent said that “The Mutual Agreement
was that there would be no additional fees to terminate the lease, and I was to pay the
difference between the normal rent and the increased rent for the period that I stayed
in the property until I found a new place to rent.” He claimed that on 20 September
2022 he received a demand for rent for the period the property was vacant after he
moved out. During the hearing the director of the appellant submitted that, in
accordance with the usual practice, if a tenant is allowed out of a lease early, the tenant
continues to be liable for the rent until someone takes over the premises.6 He claimed
that “the understanding was … that the rent had to be paid up until the period of time
until somebody took over the rent.”
[10] As I read the transcript, these propositions were put to the respondent by means of an
interpreter (p 7) although it does not appear that the respondent made any specific
response to them. It is not at all clear that he was given the opportunity to do so. The
friend who had assisted with the negotiations sought to be heard at this stage, on the
basis that he was the one who had negotiated with the agent, but the Member refused
to hear him, saying that there should have been a statement from him filed ahead of
the hearing: p 7, p 8.
[11] In my opinion the refusal to hear the friend as a witness was not correct, and deprived
the Tribunal of the advantage of possibly relevant evidence as to what happened next.
The problem here is that the exchange of emails quoted above did not in themselves
amount to a compromise of the dispute. The email from the friend to the appellant
contained an offer, but indicated that the amount payable by the respondent was not
finalised. An amount was proposed, but it was subject to consideration of “the exact
amount based on your records”. The reply was therefore an offer. From what was
stated in the claim, and indeed from the attitude of the appellant, it was accepted, but
it would have been better if there had been direct evidence about this.
Reasons of the Member
[12] The Member in written reasons pointed out that the application was not to challenge
as unreasonable the rent increase under the Act s 92, but to challenge the validity of
the increase based on the construction of the agreement. The Member referred to the
sequence of events, and the exchange of correspondence, but did not make any
findings as to the effect of this exchange. His decision turned on the proposition that
the special condition in the agreement was insufficient to satisfy the requirements of
Clause 10(5). Hence the attempt to increase the rent was invalid. He found that the
6 Transcript p 6.
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tenancy agreement was terminated by mutual agreement, and said that an agreement
to bring the tenancy to an end may include some compensation to the owner, but here
the reason was the invalid increase in the rent. His approach appears to have been
that, because the rent increase was invalid, the following agreement was also
ineffective to increase the rent. He therefore ordered the refund of the additional rent,
that the bond be refunded to the respondent apart from an amount for cleaning the
unit, ordered the appellant to pay the filing fee, but rejected claims for the cost of
moving, and time spent in negotiation and in the conduct of the application.
Appellant’s submissions
[13] The grounds of the proposed appeal were stated to be that no consideration was given
to the terms of the earlier agreement from the dispute resolution process; that the
tenant was to be responsible for the rent up until a new lease commenced; that the
matter, as a rental increase dispute for a fixed term agreement, must be dealt with
before the agreement ends; and that the tenancy was not terminated by agreement on
5 August 2022, the tenants remained in the property past that date. The appellant
sought that the respondent pay compensation for the period of the vacancy period in
the sum of $3,242.65, as well as the cleaning fee of $140.
[14] In an attached document the appellant submitted that the rent increase occurred in
accordance with guidelines issued by the RTA. It was submitted that the matter
proceeded to a dispute resolution process as a rent increase dispute, and RTA records
showed that the matter was resolved, and the terms of the agreement were the accepted
industry standard where the tenant was responsible for the rent up until the
commencement of the new lease. It was claimed that during the negotiations the
respondent’s friend was told that the landlord would not accept the rent at the old rate,
nor would he terminate the tenancy on 5 August. It was also submitted that the keys
were not returned until 8 August 2022. The appellant submitted that this was a rental
increase dispute, and in those circumstances the application could not be made to the
Tribunal once the agreement ended.
[15] In written submissions filed on 17 August 2023 the appellant also submitted that the
termination by mutual agreement must be in writing, which was not the case here. It
was submitted (again) that there was no written or verbal agreement with the
respondent to terminate the lease on 5 August 2022, and that the lease in fact
terminated on 9 September 2022, in accordance with the resolved dispute negotiation
with the RTA. It was suggested that the failure of the respondent to claim the return
of the bond earlier was inconsistent with termination in early August. It was also
submitted that the application was out of time because it had to be brought under the
Act s 92.
Consideration
[16] No submissions in writing have been filed by or on behalf of the respondent. He
hardly needed to, since almost every proposition of law in the submissions made on
behalf of the appellant was wrong or inapplicable. To deal first with the appellant’s
abortive attempt to increase the rent, rent increases are governed by the Act s 91,
which at the relevant time provided (relevantly):
(1) This section applies to increases in rent for the following—
(a) a periodic agreement;
(b) a fixed term agreement, during the term of the agreement.
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(2) If the lessor proposes to increase the rent, the lessor must give written notice
of the proposal to the tenant in the way required by this section.
(3) The notice must state—
(a) the amount of the increased rent; and
(b) the day from when the increased rent is payable.
(4) The day stated must not be earlier than 2 months after the notice is given.
(5) Subject to an order of a tribunal under section 92, the increased rent is
payable from the day stated in the notice, and the agreement is taken to be
amended accordingly.
(6) However, if the agreement is a fixed term agreement, the rent may be
increased before the term ends only if the agreement—
(a) provides for a rent increase; and
(b) states the amount of the increase or how the amount of the increase
is to be worked out.
(7) A rent increase is payable by the tenant only if the rent is increased under
this section.
[17] The agreement in this case was a fixed term agreement, so the rent could be increased
only if subsection (6) were complied with. I agree with the Member that in the case
of this agreement, the special term as drafted did not comply with s 91(6)(b). Merely
to say that the rent will be reviewed after six months states nothing about how the
amount of the increase is to be worked out. The appellant argued that “reviewed”
meant a “market review”, but that outcome can be achieved only by implication. It
may be that at common law a reference to a rent review would imply a “market
review”, although there are other ways rent can be reviewed: for example, it could be
reviewed to allow for changes in the consumer price index during the period, either
for the whole index or just for the housing sector of the index.7 I expect that, to avoid
uncertainty, it would be necessary to be specific about a comparable market for the
rental property, by reference to which the rent is to be reviewed.8
[18] I have however not researched the question of whether such an outcome would be
implied at common law, because what is clear is that s 91(6)(b) requires that how the
amount of the increase is to be worked out be stated. That is a requirement as to the
express terms of the agreement. Plainly that is not what occurred with this lease.
Indeed, I cannot understand how anyone could think that the special term in this
agreement could meet the requirements of the Act s 91(6)(b). It follows that the effect
of the section is that the appellant had not just failed to comply with the requirements
to increase the rent, it was prohibited by subsection (7) from requiring the respondent
to pay an increase in the rent. The rent could not be increased in any way before the
expiry of the term. Contracting out of the requirements of the Act is prohibited,9 and
it follows that, if there was an agreement between the parties to terminate the tenancy
but for a higher rent to be paid until then, that agreement was void to the extent that it
7 The Retail Shop Leases Act 1994 (Qld) s 27(5) identifies seven different bases for a rent review of a
lease under that Act.
8 Note the very detailed provisions for an assessment of the current market rent under the Retail Shop
Leases Act s 29.
9 The Act s 75.
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sought to exclude the application or operation of s 91(7). Note that this provision does
not make such an agreement void, only that part of the agreement which would
otherwise conflict with the term of the Act.
[19] There are two other points which I will mention, although they do not affect my
decision. First, the appellant also breached the Act s 91(2), in that the required notice
of the increase in rent was not given. Claiming that the notice was given at the
beginning of the term is no answer, because there is no evidence that a notice which
would comply with s 91(3) was given at any time. That provision requires that the
amount of the increased rent be stated. No evidence of a notice at the beginning of
the tenancy that after six months the rent would be $550 per week was put forward,
and I would be surprised if a notice which said that was given. The other point is that,
strictly speaking, there was also a breach of the Act s 93(2) on the part of the appellant,
which is made a criminal offence by that section. Admittedly it was a minor example
of the offence, since the increase was only one day early, but once again the appellant
failed to comply with the requirements of the Act.
[20] On the subject of evidence, I should point out two things. First, although a
representative of the appellant appeared at the hearing before the Member, and gave
some oral evidence, no documentary evidence was provided by the appellant before
or at the hearing. The appellant has however sought to put some documentary
evidence before the Appeal Tribunal. On 2 May 2023 an acting Senior Member made
directions for the application, including in paragraph 8 that any party seeking to rely
on evidence or a document that was not before the Tribunal file an application for
such leave. The appellant did not comply with this direction, although I doubt if any
of the additional evidence could be shown not to have been available to the appellant
at the time of the hearing. The submissions also contain factual assertions not covered
by the oral evidence of the representative at the hearing.
[21] For as long as there have been appeals, courts (and tribunals) have adopted the
approach that the initial trial or hearing is not to be regarded as some sort of
“preliminary bout”, with the full case reserved for the appeal. Appeal Tribunals have
adopted a very limited approach to the receipt of fresh evidence on appeal, although
in some cases a degree of flexibility has been allowed to litigants in person who lack
the benefit of legal assistance. But professional (and presumably duly licenced) real
estate agents are expected to know how to conduct a proceeding in the Tribunal
properly, although the appellant has not demonstrated such knowledge. I disregard
any evidence not before the Tribunal.
[22] Another relevant provision of the Act is s 277, which provides that a residential
tenancy agreement ends only in one of the ways set out in the section. This appears
to be a prescriptive provision, and there is authority that it over-rides the common law
position, that a lease is a type of contract, and can be ended in the ways any contract
can be ended; for example by acceptance of something which amounts to repudiation
of the agreement.10 If that analysis is correct, a situation could arise where both parties
claim that they have terminated the agreement, but the agreement remains on foot.
For example, if one party considers (wrongly) that the other has repudiated a contract,
and purports to accept the repudiation and put an end to the contract, that will usually
10 Hiscox v P B G Realty [2019] QCATA 112 at [16], [17]; Lobato v Gardian Real Estate Pty Ltd [2021]
QCATA 130 at [20].
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amount to repudiation by that party, entitling the first party to terminate. Such a
situation may not be possible under the Act.
[23] One proposition of law the appellant did have correct is that the Act s 277(a) provides
for ending the agreement if the parties agree, “in a separate written document,” to end
the agreement. I take it that the requirement that the document be “separate” means
just that it be separate from the tenancy agreement itself, so that a provision in the
tenancy agreement that the agreement terminate in certain circumstances would not
be effective.11 Nevertheless, this is an unsatisfactory provision because there can
easily be a situation where the parties are agreed but without a written agreement, or
both just “walk away” from the agreement. If the parties in this matter did not agree
to end the tenancy, they have just walked away from it, the respondent by moving out
and returning the keys,12 and the appellant by entering into a new tenancy agreement
with someone else. If the agreement were still in force, the new tenancy agreement
would be a clear breach of it.13
[24] The appellant submitted that the agreement ended on 9 September 2022, but has not
identified any provision of s 277 which came into operation on that date. The only
relevance of that date would appear to be that it would be a convenient date from the
point of view of the appellant. It seems to me however that the tenancy agreement
can be seen as having come to an end under the Act s 277(f), since the respondent
vacated the premises, and can be seen to have abandoned them, and rent for the period
after that has obviously not been paid. The Act contains provisions for a lessor to
follow if the lessor wants to show that the premises have been abandoned, but it seems
to me that, if the tenant has “abandoned”, that is, has moved out of the premises and
returned the keys, quite openly, there is a situation where the landlord does not have
to resort to the statutory mechanisms. There is nothing I can find in the Act which
confines “abandonment” to a situation where those provisions have been complied
with by the lessor.
[25] In submissions on the appeal the appellant claimed that the tenants were still in the
premises after 5 August, and the invoice of the removalist said that the belongings
were moved on 6 August. But what matters is whether there was an agreement
between the parties, and what its terms were. At the hearing the appellant claimed
that it was a term of the agreement that was made that the respondent would remain
liable for the rent until a new tenant for the premises was found: p 6. This is not
consistent with the exchange of emails quoted above. In response to a request by the
tenant to break the lease and vacate the property on 5 August, and seeking “the overall
amount the resident has to pay to settle the account in the landlord’s view”, the
appellant sent back a calculation which assumed that the rent was only payable to 5
August 2022. All the tenant had to do was accept the offer in that email and the result
was that it was agreed that the lease was terminated, and that rent would be payable
only up to 5 August 2022. If the appellant’s position were always that rent had to be
paid until a replacement tenant was found, that email would have been in very
different terms.
11 I do not consider that there must be only one document: Acts Interpretation Act 1954 (Qld) s 32C.
12 At common law, this would amount to surrender of the tenancy, but that possibility also does not
appear to be accommodated by the Act.
13 Apart from anything else, it would breach the covenant for peaceable possession and quiet enjoyment:
Fogarty v Hughes [2024] QCAT 273, where the tenants left the premises and returned the keys, but
had left their belongings there, which was held not to be abandonment.
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[26] In those circumstances, it is unsurprising that the Member found that there was an
agreement to terminate the lease. There was no evidence that that was in writing, and
accordingly it did not terminate the tenancy agreement as required by s 277(a), but I
consider that it was still effective as a consent by the appellant to the termination of
the obligation to pay rent. It could be characterised as a consent to abandonment of
the premises by the respondent, or perhaps as a waiver of the respondent’s obligation
under the agreement to pay rent.
[27] Curiously enough the appellant did not rely, either before the Member or on appeal,
on the argument that there was a relevant provision in the special terms of the lease.
Clause 50 provided that “If the tenancy is breached before the end of the tenancy
specified in Item 6 despite other provisions of this agreement the lessor may claim
from the tenant: (a) the rent and service charges until the lessor re-lets the premises or
the end of the tenancy as specified in Item 6, whichever is the earlier,14 and (b) the
reasonable costs (including advertising costs) of re-letting and attempting to relet the
premises.”15 I consider however that there was no fatal error in failing to refer to this
provision, since it is predicated on a breach of the tenancy, presumably a breach of a
term of the tenancy agreement. If there is an agreement between the parties to
terminate the tenancy, a “break lease” agreement, even if it is not effective to terminate
the tenancy agreement because of s 277, it will still be effective as a later agreement
between the parties, and will operate as a waiver of the mutual obligations of the
parties under the agreement, or consent to the abandonment of the premises by the
tenant, which will put an end to the tenancy agreement, if the tenant does in fact move
out. Once the tenancy agreement was at an end, the obligation to pay rent also came
to an end.
[28] There are other problems facing the appellant in respect of the claim for the rent for
the period up to 9 September 2022. The Act s 419 permits a claim to be made to the
Tribunal about a breach of a term of a residential tenancy agreement, but by s 419(3)
the claim must be made within six months after the party becomes aware of the breach.
As soon as the respondent stopped paying rent, the appellant would have been aware
of that fact. A claim under s 419 is not an urgent application,16 so the appellant would
have had first to go through the dispute resolution process with the RTA,17 and there
is no evidence that the appellant has done that, within the six month period or at all.
So the Tribunal has no jurisdiction to entertain a claim by the appellant under s 419.
[29] Further, under the Queensland Civil and Administrative Tribunal Rules 2009 a
respondent may apply for orders against an applicant by filing a counter-application
in the Tribunal, or by making a separate application to the Tribunal: Rule 48.18
Neither step was taken, and it follows that it was futile for the appellant to ask the
Appeal Tribunal for an order that the respondent pay the applicant $3,242.65 as
compensation for the period of the vacancy, or for that matter for the cleaning fee,
which has in effect already been paid.
[30] I should also say that it is quite clear that the application which went to the Tribunal
was not an application under s 92. Although the section was mentioned (with s 137,
s 419 and s 429) in the application form, it was clear enough from the relief sought
14 It occurs to me that this provision might be void anyway under the Act s 173(1)(a).
15 This part might breach the requirement in the Act s 357A(1)(b) and (c), picked up by s 173(2).
16 The Act s 415.
17 The Act s 416.
18 For the requirements of a counter-application, see Rule 50.
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and from the reasons for that relief relied on, that the basis of the claim was different.
Accordingly the appellant’s submissions about the availability of relief under s 92
were not to the point. On the view I take, it also did not matter that the respondent
was a day or two late in moving out, since there was no reason to think that the
appellant suffered any loss or damage as a result. At best there might have been a
small claim for mesne profits, but that was never pursued. There is nothing in the
RTA guidelines which would justify the rent increase demanded by the appellant,
which in my opinion was illegal. In those circumstances, the respondent had a
restitutionary right to recover the overpaid rent.19 The timing of the claim for the bond
is I consider of no consequence. There is no time limit on making that claim to the
RTA, and it was the appellant who made the first claim.
Conclusion
[31] As I have said, there was at least one unsatisfactory aspect of the hearing, but the
failure to receive evidence from the friend of the respondent was an error in favour of
the appellant, and he cannot complain of it. None of the submissions made by the
appellant show that the appellant has any real prospect of showing that the Member
erred in any way which would assist the appellant. Apart from that, in circumstances
where the origin of the whole dispute lay in the appellant’s illegal attempt to increase
the rent, it is clear that the appellant has suffered no injustice as a result of the decision
of the Tribunal. Indeed, I consider that any other outcome would have been an
injustice to the respondent, who ought to have been allowed to occupy the premises
at the original rent for the balance of the term. In those circumstances, I refuse leave
to appeal.
Comments
[32] There are two other matters which I should mention. First, I consider that the Act s
277 is quite defective in preventing a tenancy agreement from coming to an end by
mutual agreement of the parties made after the tenancy is entered into, even if it is not
agreed in writing. As well, the agreement should be treated as ended if both parties
treat the tenancy as over, or if the tenant surrenders the premises to the lessor with the
consent of the lessor. As it stands, s 277 is far too restrictive. There must be many
zombie tenancy agreements which hang around long after the parties have moved on
from the particular tenancies for which they provide, and merely serve to produce a
risk of surprising and perhaps unpleasant consequences for one or other party.
[33] The second is that I would expect a licenced real estate agent who works as a property
manager to be better informed as to the law applying to residential tenancy agreements
in Queensland than is suggested by the submissions advanced in this matter. It may
be that these submissions were made because he had been instructed to appeal, and he
could not identify any better ones, but the lack of understanding of the processes of
the Tribunal, and the failure to engage with it at the appropriate time, which such an
agent should also be able to handle, was also unsatisfactory.
[34] The application for leave to appeal from the decision of the Tribunal of 24 March
2023 is dismissed.
19 Kiriri Cotton Co v Dewani [1960] AC 192.
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Official source: https://www.sclqld.org.au/caselaw/QCATA/2024/123