Leasing disputes
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We provide help resolving disagreements over commercial leasing matters, including a mediation service for leasing disputes, under the Small Business Commissioner Act 2022 (SBC Act) and the Retail Shop Leases Act 1994 (RSL Act). The QSBC cannot assist individuals in dispute with a small business. The QSBC cannot assist in business to business disputes.
We aim to:
- Empower and support the tenant and landlord to work through the issues
- Work together to identify options
- Find a solution that works best for everyone
In Queensland, only courts or tribunals make rulings, give directions or issue orders. You may need to seek independent legal advice about your individual circumstances, as we cannot provide legal advice, financial advice or tell you who is right or wrong.
If you have a dispute, you should first attempt to resolve it yourself.
If you have a business (non-leasing) dispute, find out more information on resolving business disputes.
The following sections explain how we can help:
Consult our Fact Sheets first
We have created fact sheets which cover some of the most common dispute topics that we see commercial tenants and landlords face.
In them you will find information, facts to consider, and tips to help you work towards resolving the issue.
In dispute about a retail or commercial lease?
If you are in a disagreement with your tenant or landlord about a retail or commercial lease and cannot resolve the dispute, we can provide mediation to help you to reach an agreement. Mediations are held virtually (video or phone conference, not face-to-face).
Before organising a mediation, we will reach out to both parties to discuss the matter and offer informal (free) dispute assistance.
Please note: When applying for mediation, the applicant must decide whether the application is being made under the RSL Act or SBC Act and we will progress the application based on this choice.
- Under the SBC Act, both parties must agree to participate for the mediation to go ahead.
- Under the RSL Act, the mediation will be held unless the applicant lets the QSBC know that they wish to withdraw or the application is otherwise excluded by law (for example under section 209CC(9) of the Tobacco and Other Smoking Products Act 1998).
Wondering ‘Do I have a retail shop lease?’ then read our article What is a Retail Shop Lease in Queensland.
The Small Business Commissioner expects all parties to a small business dispute or retail shop tenancy dispute to act in good faith in all actions associated with the dispute including any attempts to informally resolve the dispute and in the mediation conference.
The obligation to act in good faith is established under common law. Good faith requires the parties to an agreement to act honestly, contribute to the contractual benefits, uphold the agreement, and to act reasonably and with fair consideration of the other party’s interests.
Each party’s obligation to act in good faith cannot be excluded or limited, including by a clause in a contract or other agreement, and may continue even after the agreement has ended. While good faith requires you to consider the rights and interests of the other party, it does not require you to act in the interests of the other party or against your own legitimate commercial interests.
1 This section sets out the Small Business Commissioner’s operational policy in relation to good faith.
Criteria for Mediation
Either party to a leasing dispute can apply to the QSBC for mediation in relation to:
- retail tenancy disputes (under the RSL Act)
- small business lease disputes (under the SBC Act)
- franchise disputes1
Wondering ‘Do I have a retail tenancy dispute?’ then read our article What is a Retail Shop Lease in Queensland.
1 The Small Business Commissioner’s operational policy in relation to franchise disputes is to refer all franchise disputes to the Australian Small Business and Family Enterprise Ombudsman (ASBFEO) due to the requirements of the national Franchise Code.
Mediators cannot mediate disputes:
- about the amount of rent or outgoings payable under the lease
- before or have already been decided by a court or arbitration
- where the amount, value or damages is more than $750,000
The QSBC cannot accept disputes:
- where a tenant has been issued a closure notice under section 209CC(9) of the Tobacco and Other Smoking Products Act 1998)
- where one of the parties is in liquidation, administration or is an undeclared bankrupt
The following sections explain how we can help:
You can apply for mediation if you are the tenant or landlord in dispute about a small business lease under the SBC Act, or retail shop lease under the RSL Act.
Participating in mediation is optional and anything said in the mediation conference cannot be used as evidence in a tribunal or court.
The QSBC will nominate a mediator from the QSBC Mediator Panel. All mediators are experienced and accredited under the Australian Mediator and Dispute Resolution Accreditation Standards (AMDRAS).
If you participate in mediation, you agree to the Small Business Commissioner’s Mediation Policy and to comply with any relevant legal obligations.
Before your mediation conference read our tips on preparing for mediation.
All mediations are conducted in accordance with the Australian Mediator and Dispute Resolution Accreditation Standards (AMDRAS).
The mediation conference will be held in private via video or telephone conferencing and is confidential.
The mediator will help the parties to explore the issues, discuss options, and, if possible, reach a settlement agreement. The mediator will conduct an intake with each party, may ask the parties to share information, may meet with the parties together or separately, and may communicate verbally or in writing.
During the mediation, each party must conduct their own case; however, the mediator may allow a representative to speak on behalf of a party if they are a company or if the mediator agrees it is appropriate. Additional parties may be added if all the parties agree and the additional party pays their share of the mediation fee.
If the parties reach an agreement during mediation, the mediator will write down the agreement (called the mediation agreement), and both parties must sign it.
If either party does not follow the agreement, the other party can ask a tribunal or court to enforce it.
If through this process, a mediation agreement cannot be reached, each party may seek their own independent legal or financial advice about other options.
For mediations under the RSL Act, if the parties cannot reach an agreement the mediator must refer eligible matters to QCAT.
The mediation fee of $383.60 (for 2025/26 financial year) is set in the Small Business Commissioner Regulation 2022 and Retail Shop Leases Regulation 2016 and is shared equally by the parties to the dispute ($191.80 per party in 25/26 FY). The fee payable is GST exempt.
Our fees and charges increase on 1 July each year in line with the Government Indexation Rate of 3.4%. The mediation fee will be $396.64 for applications received in the 2026/27 financial year ($198.32 per party).
Details on how to make the payment will be provided to both parties after the application for mediation is submitted.
Fee waiver for financial hardship
The commissioner may waive all or part of the fee payable by a party if the commissioner is satisfied the payment of the fee would cause, or would be likely to cause, the party financial hardship. To apply for a waiver based on financial hardship, the party must meet the below eligibility criteria:
- Be currently receiving support from the Small Business Financial Counselling Service and request (and have) the counsellor email the QSBC case manager directly stating that you are receiving financial counselling and that the payment of the fee would cause, or would be likely to cause, financial hardship.
OR
- Have an independent certified practising accountant or certified bookkeeper provide a signed letter (including their full name, contact information and certification) stating that they have no conflict of interest, are aware of your current financial position and that the payment of the fee would cause, or would be likely to cause, financial hardship.
The email or signed letter must be received by the QSBC case manager assisting with your dispute before the due date for your share of the mediation fee.
If your application is properly made, the commissioner or authorised officer will then consider your fee waiver request against the above eligibility criteria. A decision will be made within 2 business days of your submission, and you will be advised of the outcome by email.
Fee waiver for a class of parties
The commissioner may also waive all or part of the fee payable for a class of parties for a particular period if the commissioner is satisfied the waiver will promote access to mediation by the parties during the period.
If the commissioner is satisfied that an unforeseeable business disruption has occurred which is reasonably preventing either of the parties from fulfilling their obligations under a small business lease or retail shop lease, the commissioner may publish a waiver of all or part of the mediation fee on the QSBC website.
The waiver will state the class of parties to which it applies and the period for which the waiver exists. The waiver will be automatically applied to relevant parties; however, the parties will be asked to confirm by email that they wish to apply for and participate in a mediation conference.
1 This is the Small Business Commissioner’s operational policy in relation to mediation fees.
Retail tenancy disputes are mediated under the Retail Shop Leases Act 1994 (RSL Act). A retail shop lease under the RSL Act has specific definitions, some of which include:
- a premises is used for retail purposes
- a shop type mentioned in the RSL Regulation
- a shop located within a retail shopping centre (where 5 or more retail shops are located)
- a shop with a floorspace of less than 1,000 square metres.
You should seek independent legal advice if you are not sure if your lease is a retail shop lease. If you are wondering “Do I have a retails shop lease?” read our article “What is a Retail Shop Lease in Queensland?”
After mediation, the mediator will notify us and must refer the dispute to the Queensland Civil and Administrative Tribunal (QCAT) if:
- no agreement can be reached in writing at mediation, or
- a party does not attend mediation, or
- the dispute has been with the mediator for four months,
and
- the lease is current (or has not expired, been surrendered, or terminated more than a year ago), and
- the dispute is within QCAT’s jurisdiction.
The Small Business Commissioner Act 2022 (SBC Act) applies to small business lease disputes (excluding retail tenancy disputes) and franchise disputes.
To be eligible for mediation, the tenant in the dispute must be a small business* and both parties to the small business lease dispute must:
- have already attempted to find an informal resolution to the matter, and
- agree to mediate the dispute, and
- agree to share the cost of mediation equally (unless fees are waived).
If no agreement can be reached at mediation, the parties may need to seek your own independent legal or financial advice about their further options.
*Small business means a Queensland business that identifies as small in size and which a person would reasonably consider to be small.
Mediation tips from the commissioner
Escalating a retail tenancy dispute to QCAT
For retail tenancy disputes, the parties must attempt mediation with the QSBC before making an application to QCAT. If you apply to QCAT for a retail tenancy dispute you will need to provide evidence of your attempt to mediate the matter through the QSBC. If you attempt mediation with QSBC and the matter remains unresolved, the mediator will refer the matter to QCAT for you.
QCAT can hear matters and give directions to the parties (for matters up to $750,000); however, only a court with relevant jurisdiction can make orders about a matter or hear other matters.
Under section 64 of the RSL Act, a party may apply directly to QCAT for an order to resolve a retail tenancy dispute following the QSBC mediation process, if the retail shop lease has not ended more than 1 year before the dispute was lodged, and:
- Non-compliance with a Mediation Agreement: You believe that the other party has not adhered to the terms of a mediation agreement (reached at a QSBC mediation) within the specified timeframe (or if no timeframe was specified, within two months of signing the agreement).
- Mediator’s Referral Refusal: A mediator has declined to refer your case to QCAT, because the mediator is of the opinion the dispute falls outside of QCAT’s jurisdiction.
- Court Directive: A court has instructed that your dispute, initially commenced in court, should be transferred to QCAT or another tribunal.
Visit the QCAT website for more information.
For small business lease and franchise disputes, the parties must attempt to informally resolve the matter with the QSBC. The mediator is not required to refer these types of matters to QCAT. QCAT does not have the power to hear commercial leasing disputes. If you bring a commercial leasing dispute to QCAT, it may be dismissed.
You should seek your own independent legal advice about your individual circumstances and the options available to you.
What are my options if I am in dispute with another business?
For some types of disputes, there is no third party that offers dispute assistance services, for example in business to business or unpaid invoice disputes. Self-service is required for these types of disputes. The Queensland Small Business Commissioner can only assist with disputes about a commercial or retail premises lease.
What can I do if my business is owed money?
There are resources and a structured process for businesses to follow for self-recovery of debts, which can escalate to legal action as a last resort. The Queensland Small Business Commissioner cannot recover unpaid money for a business.
Read our article Unpaid Invoices: Practical Steps to Help You Recover What’s Owed for steps to follow if your business is owed money.
You could also try to develop or improve your negotiation and communication skills and use a different communication strategy at steps 2 and 3 of the 5 steps to resolving business disputes. If a different strategy does not work, skip to step 5 - take the dispute to tribunal or court. If you decide it is not viable to take a debt dispute to court or tribunal, you may have no alternative but to keep trying to negotiate/follow up or write off the debt.
LegalAid Queensland also provides detailed information and steps you can try if you are owed money by a business or individual: Someone owes me money – Legal Aid Queensland.
Are you in contract dispute with another business? For example over defective goods, delayed deliveries, service quality, warranties, or return/refund obligations
- Resolving business disputes explains the 5 steps you can try to self-resolve the dispute.
- Read the information from LegalAid Queensland on: Consumer and trader disputes – A guide to help you resolve a dispute with a trader. This information also covers trader to trader disputes.
The Queensland Small Business Commissioner cannot provide dispute resolution for contract disputes or other types of business disputes. If an agreement cannot be reached about a business to business (or any non-leasing) dispute, you may have no alternative but to try to negotiate a settlement or take the dispute to tribunal or court. If you decide it is not viable to take a business to business dispute to court or tribunal, you may have no alternative but to keep trying to negotiate a solution or accept the situation.
If you have another type of non-leasing dispute:
The Queensland Small Business Commissioner does not provide assistance to individuals in dispute with a business. Consumers may have other pathways to dispute resolution assistance. The dispute assistance finder can help you find the most appropriate service for you.