› Meaning of 'conduct, manage and operate the Centre as a high quality retail shopping centre'
› Whether obligation to refurbish or merely to manage to a standard
› Surrounding circumstances and commercial context
Landlord and Tenant
› Commercial lease
› Landlord's covenants
› Management and operation of shopping centre
› Scope of obligation under management clause
› Whether clause imposed capital works obligation
Damages
› Causation
› Loss of profits
› Whether loss caused by breach of lease covenant
› Quantification of loss
Quick Take
1A lease clause requiring a landlord to 'conduct, manage and operate' a shopping centre 'as a high quality retail shopping centre' imposes a standard of day-to-day management and operation, not an obligation to transform or refurbish the centre to meet that description.
2Where a commercial lease is said to impose a substantial capital works obligation on a landlord, one would reasonably expect the scope of works and a timetable for completion to be set out specifically, either in the lease or in a collateral agreement; a management clause will not be construed to impose such an obligation absent clear language.
Case Details
Citation[2021] ACTCA 2
CourtACTCA
JurisdictionAustralian Capital Territory
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