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RESIDENTIAL TENANCIES ACT 1997 - SECT 8

Standard residential tenancy terms

    (1)     A residential tenancy agreement—

        (a)     is taken to contain the standard residential tenancy terms mentioned in schedule 1—

              (i)     for a fixed term agreement—as in force on the day the parties enter the agreement; or

              (ii)     for a periodic agreement—as in force from time to time; and

        (b)     if the lessor and tenant agree—may contain a fair clause for posted people; and

        (c)     if the agreement is a fixed term agreement and the lessor and tenant agree—may contain a break lease clause; and

        (d)     may contain any other term—

              (i)     that is consistent with the standard residential tenancy terms; or

              (ii)     that is inconsistent with a standard residential tenancy term if the term has been endorsed by the ACAT under section 10.

    (2)     Despite subsection (1) (a) (i), an amendment of this Act (other than schedule 1) that affects the operation of schedule 1 applies to a fixed term agreement.

    (3)     To remove any doubt, subsection (1) (a) (ii) applies to a periodic agreement that commences on expiry of a fixed term agreement, on the day the periodic agreement commences.

    (4)     In this section:

"break lease clause" means the following clause:

Termination before end of fixed term—fee for breaking lease

    (1)     If the tenant ends a fixed term agreement before the end of the fixed term (other than for a reason provided for by the Residential Tenancies Act or the agreement), the tenant must pay a fee (a break fee ) of the following amount:

        (a)     if the fixed term is 3 years or less—

              (i)     if less than half of the fixed term has expired—6 weeks rent; or

              (ii)     in any other case—4 weeks rent;

        (b)     if the fixed term is more than 3 years—the amount agreed between the lessor and tenant.

    (2)     The lessor agrees that the compensation payable by the tenant for ending a fixed term agreement before the end of the fixed term is limited to the amount of the break fee specified in subclause (1).

    (3)     However, the lessor and tenant agree that if, within the defined period after the tenant vacates the premises, the lessor enters into a residential tenancy agreement with a new tenant, the amount payable by the tenant is limited to—

        (a)     the amount of the break fee under subclause (1) less the amount of rent payable by the new tenant for the defined period; and

        (b)     if the tenant vacates the premises more than 4 weeks before the end of the fixed term—the lessor's reasonable costs (not exceeding the defined cost limit) of advertising the premises for lease and of giving a right to occupy the premises to another person.

    (4)     In this clause:

"defined cost limit "means—

            (a)     if half or more than half of the fixed term has expired—an amount equal to 2/3 of 1 week's rent; or

            (b)     if less than half of the fixed term has expired—an amount equal to 1 week's rent.

"defined period" means—

            (a)     if subclause (1) (a) (i) applies—6 weeks; or

            (b)     if subclause (1) (a) (ii) applies—4 weeks; or

            (c)     if subclause (1) (b) applies—N weeks.

N is the number worked out as follows:

1997-8401.jpg

"fair clause for posted people" means the following clause:

Termination because of posting

    (1)     The tenancy agreement may be terminated—

        (a)     if the lessor is posted to Canberra in the course of the lessor's employment—by the lessor giving the tenant at least 8 weeks written notice; or

        (b)     if the tenant is posted away from Canberra in the course of the tenant's employment—by the tenant giving the lessor at least 8 weeks written notice.

    (2)     A notice under subclause (1) must be accompanied by evidence of the posting (for example, a letter from the employer of the lessor or tenant confirming the details of the posting).

    (3)     The tenancy ends—

        (a)     8 weeks after the day a notice is received under subclause (1); or

        (b)     if a later date is stated in the notice—on the stated date.



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