Cases - BP Refinery (Westernport) Pty Ltd v Shire of Hastings
- BP Refinery (Westernport) Pty Ltd v Shire of Hastings
- 52 ALJR 20
- Commercial property - property management - dilapidations - terms in a contract - dilapidations case law
The court established a 5-point test when considering whether or not to imply a term into a contract (which includes a lease):
- the term must be reasonable and equitable;
- the term must be necessary to give business efficacy to the lease;
- the term must be an obvious one to imply into the lease;
- the term must be capable of being clearly expressed; and
- the term must not contradict any express term of the lease.
The more comprehensive the scheme for repairs expressly provided for in the lease, the less likely it is that a term will be implied.