New South Wales Consolidated Acts

RETIREMENT VILLAGES ACT 1999 - SECT 104

104 Variation of recurrent charges

(1) A village contract may provide that any recurrent charges payable under it:

(a) are to be varied at specified intervals (or on specified dates) according to a fixed formula (for example, in proportion to variations in the Consumer Price Index), or

(b) may be varied at specified intervals (or on specified dates) otherwise than according to a fixed formula.

(2) If a village contract provides that recurrent charges payable under it are to be varied (or may be varied) without specifying when they are to be varied (or may be varied), the second and any subsequent purported variation in any period of 12 consecutive months is of no effect.

(3) A village contract must not provide for more than one method of variation of the recurrent charges payable under it.

(4) If a village contract provides for more than one method of variation of recurrent charges in contravention of subsection (3), the method that results in the lowest increase in recurrent charges is the applicable method.