If your rental provider (landlord) believes they have suffered loss as a result of you breaching your tenancy agreement (lease) or the Residential Tenancies Act 1997, they may apply to the Victorian Civil and Administrative Tribunal to make a compensation claim against you.
Common claims by rental providers include:
- lease breaking costs
- lost rent if you leave without giving proper notice
- damage to the rental property or to fixtures or goods supplied with the property
- failing to leave the property reasonably clean
- unpaid rent
Usually the rental provider will wait until you move out before making a compensation claim, and they will only apply for compensation if the amount they are seeking is more than your bond. However a rental provider can make a compensation claim at any time during a tenancy, or for up to 6 years after the damage or loss is supposed to have occurred.
The Tribunal has a $10,000 limit on compensation claims. If the rental provider wants to claim more than $10,000 they will need your consent, or they must go to the Magistrates’ Court or a higher court.
If the rental provider makes a claim under the Australian Consumer Law and Fair Trading Act 2012 (Vic), contact us for advice.