Lease breaks - Disputing costs.

What to do if a renter things that costs are too high?

In the event that a renter believes that they have been excessively charged for breaking their lease agreement, their first course of action should be to attempt to negotiate with the rental provider or agent.

If negotiations fail to produce a satisfactory outcome, the renter may apply to VCAT to seek a determination as to whether the charges are reasonable or not.

What to do if a renter refuses to pay the costs?

If a renter breaks their lease agreement, a rental provider has the option to seek compensation by filing an application with VCAT. The rental provider must provide evidence of their losses, and VCAT will determine the appropriate amount that the renter should pay.

What if they are leaving because of hardships?

In the event that a renter is facing hardship, they have the option to apply to VCAT to terminate their lease agreement without incurring any costs. Hardship cases, also known as severe hardship, can arise from various situations such as a significant loss of income, a severe medical condition, or a family crisis.

If a rental provider has already filed an application with VCAT to seek compensation from a renter who left the property early, VCAT is required to consider whether the renter was facing severe hardship and whether the agreement's continuation would have exacerbated the situation.