Retail Leases Act 2022

A tenant may request, in writing, a landlord to appoint an auditor for the purposes of providing to the tenant a report, for an accounting period specified in the request, which audits – the outgoings specified in a written estimate of outgoings provided to a tenant in accordance with section 36(1); and the outgoings specified in a written statement of outgoings provided to the tenant in accordance with section 36(4).

Within 30 days after the day on which a landlord receives a written request under subsection (1), the landlord must appoint an auditor for the purposes of preparing the report. In the case of – a body corporate, a fine not exceeding 50 penalty units; and an individual, a fine not exceeding 25 penalty units.

A landlord must provide an auditor, appointed by the landlord under subsection (2), with any information or documentation that the auditor requires to prepare the relevant report. In the case of – a body corporate, a fine not exceeding 50 penalty units; and an individual, a fine not exceeding 25 penalty units.

An auditor is to – prepare a written report – in accordance with the relevant principles and disclosure requirements of the applicable accounting standards (as in force from time to time) made by the Australian Accounting Standards Board of the Commonwealth; and that states whether or not the outgoings specified in a written estimate of outgoings for the relevant accounting period have been expended, and charged, in accordance with the written estimate of outgoings and the relevant retail lease; and that states whether or not the outgoings specified in a written statement of outgoings for the relevant accounting period have been expended, and charged, in accordance with the written statement of outgoings and the relevant retail lease; and when the auditor has finalised the report, provide the landlord and the tenant with a copy of that finalised report.

The cost of a report prepared and finalised by an auditor in accordance with this section is to be paid by – the tenant who requested the report under subsection (1), if the report states that the outgoings specified in the written estimate of outgoings or the written statement of outgoings are more than 95% accurate; or the landlord who appointed the auditor under subsection (2), if the report states that the outgoings specified in the written estimate of outgoings or the written statement of outgoings are 95% or less than 95% accurate.