A certified exclusionary clause is a provision of a retail shop lease in respect of which a certificate has been signed by the Commissioner. A certificate is required if a shorter term is agreed by the parties.

The lease won’t include a ‘certified exclusionary clause’ until the clause in question has been certified by the Commissioner. What the lease will include is a clause providing for an initial term of less than 5 years.

The Act requires that a solicitor (who is not acting for the lessor) or the Small Business Commissioner provide a certificate which certifies that they have explained to the lessee that the lessee would, but for this certificate, be entitled to a minimum 5 year term.

The solicitor or Small Business Commissioner must also certify that they have received credible assurances from the lessee that the lessee, was not acting under any coercion or undue influence in consenting to the lease being entered into for under 5 years.

A fee will apply for the issue of a certificate.