Pyrmont Point Pty Ltd v Westacott

Pyrmont Point Pty Ltd (the applicant) sought leave to appeal from a decision of the primary judge concerning the application of the *Retail Leases Act 1994* (NSW). The dispute arose from the applicant's registered lease, which had been granted following the exercise of an option contained in an earlier lease. Westacott (the respondent) was the lessor.

The central legal issue before the Court of Appeal was the interpretation of section 6(1)(b) of the *Retail Leases Act 1994* (NSW), which exempts from the Act's provisions leases for a term of 25 years or more. Specifically, the court had to determine whether the term of the applicant's registered lease, which resulted from the exercise of an option in a prior lease, should be aggregated with the term of the prior lease to meet the 25-year threshold.

The Court of Appeal reasoned that the phrase "leases for a term of 25 years or more" in section 6(1)(b) referred to the term of the lease currently in effect, not the aggregate term of successive leases or leases granted pursuant to options. The court held that the registered lease was a new lease, distinct from the prior lease, and its term alone did not satisfy the 25-year requirement. Therefore, the Act applied to the registered lease.

Leave to appeal was granted, and the appeal was dismissed with costs.