Clauses to boot errant retailers out

Sim Lim Square is a strata title mall, which means each unit has its own owner. The mall's management cannot dictate who can and cannot operate in the mall.

But to give teeth to the landlords, the mall's management corporation strata title council came up with rental clauses which would allow the landlords to boot out misbehaving tenants.

The clauses make it compulsory for tenants to compensate landlords for costs when they take back a unit, such as loss of rent, reported The Straits Times.

Grounds for booting out a tenant include:

  • If the authorities, such as the Consumers Association of Singapore and the Singapore Tourism Board, receive five or more consumer complaints against a tenant, its subtenant or employee within a month.
  • If he has a bankruptcy order made against him, is struck off the Register of Businesses, or is determined by a court to have flouted the Consumer Protection (Fair Trading) Act.