End of the line for COVID response legislation for property owners and tenants
On Sunday 28 March 2021, the Moratorium on Evictions and Prohibited Actions under the Commercial Tenancy (Covid-19 Response) Act 2021 (WA) (COVID Response Act) will be coming to an end. Given the strength of WA’s economic and overall recovery in relation to the pandemic, it would be surprising for the Moratorium to be extended for a further term. On 29 September 2020, the COVID Response Act was refined so that only those tenants able continue to demonstrate their eligibility were offered protection under the Act.
What you need to know following Sunday 28 March 2021:
- All negotiations and agreements for rent relief under the Act must be finalised prior to 28 March 2021;
- Terminations, lockouts and exercising the right of re-entry for non-payment of rent will be permitted;
- Either party may terminate the lease;
- Actions can be taken for breaches that occurred before, during or after the Act;
- Landlord will be able to recover any security or bond for performance under the lease;
- Damages for a breaches of a lease are permitted;
- Tenants must commence making repayments for any agreed deferred rent;
- The freeze on rent increases ends; and
- Charging interest on unpaid rent will be permitted.
Sunday, 28 March 2021 also marks the end to prohibitions on Residential Tenancies and various prohibited actions will also be permitted in relation to residential properties.
If you require advice or assistance with respect to the end of WA’s COVID-19 Legislation, including issuing default notices, termination notices and any assistance recovering possession of premises, please feel free to contact Pragma Lawyers at hello@pragma.law or (08) 6188 3340.