4Walls Ltd t/as Compass Qld v Kjaer-Olsen

The case of 4Walls Ltd t/as Compass Qld v Kjaer-Olsen was brought before the court to address the termination of a residential tenancy. The lessor, 4Walls Ltd, sought to terminate the tenancy of the tenant, Kjaer-Olsen, based on suspicions of illegal activity on the premises. The notice to leave was issued under section 290A of the Residential Tenancy and Rooming Accommodation Act, which allows for termination when a lessor believes that the tenant is conducting illegal activity on the premises. The central issue before the court was whether the lessor was required to issue a notice to remedy the breach of the tenancy agreement before issuing the notice to leave, or if the notice to leave could stand independently of any breach of the agreement.

The court found that section 290A provides a specific remedy to the lessor as defined in that section. It ruled that the notice to leave was not contingent upon a breach of the tenancy agreement but rather on the conduct of the tenant. Therefore, the court held that there was no requirement for the lessor to issue a notice to remedy the breach before issuing the notice to leave. This interpretation of section 290A allowed the lessor to proceed with the termination of the tenancy on the grounds of suspected illegal activity without first addressing a breach of the tenancy agreement.

The court granted leave to appeal and allowed the appeal, setting aside the decision of the tribunal. A termination order was made in respect of the premises at 7/28 Paragon Street, Yeronga, on the grounds of failure to leave as from 4 June 2014. The court also directed the issue of a warrant of possession, authorising the Principal Officer of Police at the Moorooka Police Station to enter the premises and give possession to the applicant. The warrant was to take effect on 29 September 2014, with entry to be made between 8.00am and 6.00pm. This decision clarified the scope and application of section 290A in the context of residential tenancies.