At the time of the reference, there were no statutory provisions regulating the use of tenancy bonds in Western Australia. Issues such as how much bond money was payable, where the bond money was to be held, whether interest was payable to the tenant and whether the bond reflected a genuine pre-estimate of damage, were governed only by the terms of the agreement between the landlord and tenant. Few actions relating to tenancy bonds were commenced because of the perceived difficulties with the court process, particularly since the amounts involved were usually small, and the tenants tended to be of limited means.
Terms of Reference
In 1973 the Commission was asked to inquire into the law and practice relating to bonds between landlord and tenant.
Outcomes
The Commission’s recommendations were implemented in full by the subsequent enactment of the Small Claims Tribunals Amendment Act 1975 (WA).