Central Pier traders to sue Development Victoria
Tenants of Central Pier are set to sue Development Victoria for $100 million, claiming it was “led the tenants to believe” the Docklands site was being repaired and would be structurally safe.
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Central Pier businesses claim Development Victoria “led the tenants to believe” the Docklands site was being repaired and would be structurally safe.
They are launching legal action against the government body in charge of the entertainment precinct after it was closed last month due to structural integrity concerns.
The site was due to re-open again today, but it has now been delayed for months.
“The tenants of Central Pier will be launching legal action against Development Victoria imminently, claiming in excess of $100 million,” a spokesman representing the eight Central Pier businesses said.
“The primary claim will be for a breach by Development Victoria of its obligation under the lease to maintain the structural integrity and safety of the pier. The claim will also focus on the fact that Development Victoria at all times until 28 August 2019, led the tenants to believe the pier was being repaired and maintained by Development Victoria so it would last until 2026 when the lease expired — but it now appears that was not the case.”
Development Victoria said it would defend any legal action, and insisted it had acted in accordance with the terms of the lease.
“A detailed assessment of Central Pier by our engineering consultants is underway on a priority basis,” a spokesman said.
Laura Luxton, a manager with the Woolshed, said the most unsettling thing for staff was the uncertainty.
“There was no notice and no information — you think you are looking for [temporary work] for four weeks and suddenly, it’s until the end of the year.”
Casual workers then had to decide to commit to work elsewhere, not knowing when they could return to their old jobs.
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Austage general manager Nick Ellul said his employees were “terrified”.
“It would have saved a lot of mental anguish if they had just said from the start ‘it’s going to be 18 months’ or whenever … instead we have had information drip fed through the media.”
“In order for a business to “stay afloat” planning was required.
“But we can’t make plans because Development Victoria aren’t communicating with us.”