The relationship between landlord and tenant is a melting pot of legal relationships and the possible engagement of experienced commercial lawyers, that runs its colours into business, personal and Government spheres. One particular influence that has been the source of much litigation, legislative review and advocacy is the conduct of landlords when they are negotiating the commencement, renewal or termination of a tenancy.
Aspects of agency, contract, tort and trade practices can all be enlivened at the seemingly simplest statement made by a landlord, or for that matter the landlord’s agent. The law has tried for some time to not impede the ability of parties to negotiate and communicate with each other without fear of reprisal.
Conversely, the law has also drawn some lines where those negotiations and communications have moved past innocence and traversed into areas that give rise to rights and obligations. So how far is too far?
The scale begins with “mere puffery” which means statements that a person makes that might be incorrect and in any event could not be relied upon by anyone as a statement of fact. It then extends on to misrepresentation that might be actionable because it is negligent; and then further to misleading and deceptive conduct. The scale might extend all the way to fraudulent activities, in which case, you should be seeking legal advice, however for the purposes of this article we will focus on the ever subtle distinction between puffery and misleading statements or misrepresentation.
