Twice offender: WA agency fined after taking 3 years to lodge bond

Lomax Coastal Realty Pty Ltd was sentenced in the Joondalup Magistrates Court after pleading guilty to two charges relating to excessive delays in lodging bonds received from a tenant.

The state’s laws require security bonds for residential tenancies to be lodged with the Bond Administrator as soon as practicable, but no later than 14 days after receipt.

In April 2022, the agency received a total of $2,780 from a tenant at a Butler property, comprising a $1,680 security bond, a $260 pet bond and two weeks’ rent.

The office failed to lodge the bond by the due date and did not lodge it until 23 May 2025, a delay of 1,121 days, or 3 years and only after prosecution by Consumer Protection had commenced.

One year after the agency received the first bond, it received an $80 security bond increase from the same tenant, but it was not lodged until 11 June 2025, a delay of 775 days or over 2 years, and again after prosecution started.

It marked the second time the agency was prosecuted, after the company previously made false claims about the air-conditioning of a property for sale, in breach of consumer law.

In August 2021, Lomax Coastal Realty was ordered to pay $7,500 for the false claims, following action from Consumer Protection.

Consumer Protection confirmed the bonds were now held in full by the Department of Local Government, Industry Regulation and Safety’s bond administrator.

Magistrate Evan Shackleton said the omission arose from poor internal processes rather than deliberate actions, but the significant delays showed the need for proper bond-handling procedures.

Commissioner for Consumer Protection, Trish Blake, said timely bond lodgement was essential to protect both landlords and tenants, as it enabled the money to be stored safely and independently.

She said when agencies fail to lodge bonds on time, they put consumers at risk and undermine confidence in the rental system.

“These delays – stretching into years – are completely unacceptable. Even if the failure wasn’t deliberate, agencies have a clear responsibility to maintain proper processes and comply with the law,” Blake said.

“Most property managers do the right thing, but when they don’t, we will step in. Tenants should feel confident that their bond money is protected from the minute they hand it over.”