Event and Time
Event Description
- The plaintiffs, Vincent Cold Storage Pty Ltd and Vincent Transport Services Pty Ltd (collectively referred to as ‘the Tenants’), filed an amended summons on 17 November 2022 against Centuria Property Funds No 2 Limited (‘the Landlord’) seeking:
- An interlocutory injunction to prevent the Landlord from re-entering their premises at 102-128 Bridge Road, Keysborough, Victoria. - Alternative relief against forfeiture of the lease entered into on 15 January 2020.
Application and Claims
- The Tenants claimed that the Landlord had issued a notice of default concerning outstanding rent amounting to $736,947.11.
- The Tenants sought to challenge the validity of the Landlord's actions under section 146 of the Property Law Act 1958 (Vic) and sought relief from the court regarding the forfeiture notice issued.
Judicial Decisions
- The court provided procedural orders, and an initial undertaking was given by the Landlord to refrain from re-entering the premises until 4:00 PM on 1 December 2022.
Dispute Points and Legal Basis
Dispute Points
- Tenants' Arguments:
- The Tenants contended that they were in the process of attempting to remedy their financial situation and were working towards paying outstanding amounts. - They argued that the defaults were not of a kind which could classify the situation as “exceptional” for the purposes of denying relief against forfeiture. - The Tenants asserted that equitable principles should favor them as they had attempted arrangements to settle their debts.
- Landlord's Arguments:
- The Landlord maintained that the Tenants had failed to meet their rental obligations, allowing a valid basis for forfeiture. - The Landlord posited that there had been prolonged defaults and highlighted the risk of future non-payment due to the Tenants’ financial status. - The Landlord reserved the right to assert total claims arising from the Lease in opposition to the Tenants' application.