Who’s responsible when security fails? A costly storage unit break-in nightmare

For many Australians over 50, the idea of downsizing or temporarily storing belongings as life transitions occur is not uncommon. You entrust storage facilities with your most valuable possessions, believing they will be kept safe from harm.

But when that trust is shattered, the consequences extend beyond lost possessions. When security turns out to be an illusion, the struggle to reclaim what was lost becomes even more complex. Take the story of Tracey Kruger, a 63-year-old Melbourne resident, for example. Her experience with a storage unit break-in turned into a legal labyrinth that serves as a cautionary tale for us all. 

Tracey’s decision to use a storage unit at StoreLocal in Campbellfield was born out of necessity. With no fixed address, she entrusted nearly all her possessions to what she believed would be a secure space. However, her trust was shattered when she discovered her unit was one of over ten that had been broken into and robbed in June of the previous year.

The emotional toll was immense. Tracey lost not just household items but irreplaceable personal treasures, including her grandmother’s jewellery and her dogs’ ashes.

‘It was an absolute mess—my whole unit was just trashed,’ Tracey recounted to The Guardian, ‘I was crying. I was sobbing. There were things in there that I can never be compensated for.’

Unfortunately, Tracey’s ordeal is not an isolated incident. Several Melbourne storage facilities have been targeted over the past year, with police alleging a series of burglaries involving multiple suspects.

Tracey, like many others, had signed a contract that placed the ‘sole risk and responsibility’ for stored goods squarely on the customer, except in cases of negligence by the facility owner. The contract also limited any potential compensation to the total fees paid.

When Tracey reached out to StoreLocal Campbellfield for compensation, they initially declined, later offering to refund her storage fees of $5,430.86, a gesture that she says only came after she left a one-star Google review.

Determined, Tracey argued that the facility had failed in its duty to provide adequate security, citing ‘insufficient cameras’ and the lack of security guards. Her subsequent letter to the facility went unanswered.

The legal complexities of cases like Tracey’s have brought to light the question of liability and the protection—or lack thereof—for consumers in such situations.

The Consumer Action Law Centre, assisting Tracey, points to Australian consumer law, which may offer broader protections even when storage companies include clauses in their contracts excluding them from liability.

They argue that the law requires services to be ‘fit for purpose’ and ‘provided with due care and skill,’ and it may deem contract terms that contradict this as ‘unfair.’

Meanwhile, experts are divided on the issue. Some argue that storage companies’ exclusion clauses are likely to be robust, while others contend that Australian consumer law cannot be contracted out of, potentially entitling consumers to damages for consequential loss.

‘The problem is, I dare say, most of the tenants who are renting units in that facility wouldn’t have read those terms,’ says contract law expert and University of Adelaide senior law lecturer Mark Giancaspro.

‘Unfortunately, you are bound to them, even if you haven’t read them.’

Meanwhile, Jeannie Paterson, a professor from the University of Melbourne’s law school, argues, ‘If you’re a consumer storing goods, the contract can’t exclude the liability of the facility to you.’

‘Now that means that the person who stored their goods is entitled to damages for consequential loss to the extent that there’s a breach, which would mean getting much larger damages than just the refunding of the [storage] fees.’

Tracey’s nightmare serves as a stark reminder to all of us to be vigilant and informed. Aside from underscoring the importance of understanding the contracts we sign and the protections available to us under the law, her complex situation also highlights the need for due diligence when selecting a storage facility, including verifying security measures and considering insurance options for stored goods.

Have you had a similar experience with a storage facility? How did you navigate the aftermath? Share your stories and advice in the comments below, and let’s help each other in the YourLifeChoices community avoid the same fate.

Also read: A QLD scam victim tried to sue her scammer, but then things took a turn for the worse

Floralyn Teodoro
Floralyn Teodoro
Floralyn covers different topics such as health, lifestyle, and home improvement, among many others. She is also passionate about travel and mindful living.

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