The Department of Consumer Protection is concerned a growing number of WA real estate agents are breaching the Residential Tenancy Act by requiring tenants leaving a rental property at the end of a lease to give 21 days notice.
The Department said some agents are adding this as a clause in rental agreements and when the tenant moves without giving notice, 3 weeks rent is deducted from their bond.
Consumer Protection has received more than 30 complaints about this practice so far this year.
Consumer Protection Commissioner Anne Driscoll said the practice is illegal.
"A fixed-term lease has an expiry date and the tenant does not need to give notice if they don't intend renewing the lease, and they certainly should not be penalised," Ms Driscoll said.
"It is the responsibility of the real estate agent or property manager to contact the tenant prior to the expiry of the lease to determine if the tenant wishes to renew or is planning to move out."
"Any agent who has this clause linked to the end of the fixed-term rental period should immediately remove it. Legal action will be taken if such a clause is enforced," the Commissioner said.
"We would be very keen to hear from any tenant who has been penalised by this illegal practice as they would be entitled to a refund."