In an earlier post here I discussed another decision from VCAT holding that rent review by CPI or to the current market rent with a ‘cap‘ on increases is inconsistent with s 35(2) of the RLA 2003.
A number of readers have told me that they are following this issue closely and I noted on my last post that I would update readers if an appeal is filed.
The unsuccessful party in the VCAT case has filed an application for leave to appeal in the Supreme Court. The appeal does not yet have a hearing date.
I will update readers as the appeal progresses.


August 13, 2024 at 2:12 pm
Interesting decision. Technically it may be correct at law, however it surprises me that VCAT would not view the “cap” as in the tenants best interests – unless the tenants best interests are in fact going to a market determination, as the rent and market has declined since the last review of rent.
On one hand the technical legal interpretation of 35(2) is made. On the other hand the opportunistic strategy of seeking a market review (not then available in the Lease) because this will provide a lower rent in the current market – is very clever.