LAND AND BUSINESS (SALE AND CONVEYANCING) ACT 1994 - SECT 21

LAND AND BUSINESS (SALE AND CONVEYANCING) ACT 1994 - SECT 21

21—Requirements relating to offers to purchase residential land

        (1)         If a person communicates to an agent an offer for residential land that the agent is authorised to sell on behalf of a vendor, the agent must ensure that the following requirements are satisfied:

            (a)         all reasonable steps must be taken to have the offer recorded in writing, in a form containing the details required by the regulations, and signed by the offeror;

            (b)         subject to subsection (5), the offer must not be passed on to the vendor unless it is so recorded and signed;

            (c)         the offeror must, if the regulations so require, be given a notice in writing containing the information prescribed by the regulations before signing the offer;

            (d)         a copy of the signed offer must be given to the vendor within 48 hours or at a later time agreed with the vendor;

            (e)         details of the offer must not be disclosed to a person other than the vendor or, on request, an authorised officer;

            (f)         a copy of the signed offer must be kept by the agent.

Maximum penalty: $5 000.

Expiation fee: $315.

        (2)         If a person communicates to a sales representative employed by an agent an offer for residential land that the agent is authorised to sell on behalf of a vendor, the sales representative—

            (a)         must take all reasonable steps to have the offer recorded in writing, in a form containing the details required by the regulations, and signed by the offeror; and

            (b)         subject to subsection (5), must not pass the offer on to the vendor unless it is so recorded and signed; and

            (c)         must, if the regulations so require, give the offeror a notice in writing containing the information prescribed by the regulations before the offeror signs the offer; and

            (d)         must give a copy of the signed offer to the vendor within 48 hours or at a later time agreed with the vendor; and

            (e)         must not disclose any details of the offer to a person other than the vendor or, on request, an authorised officer; and

            (f)         must enable a copy of the signed offer to be kept as part of the agent's records.

Maximum penalty: $5 000.

Expiation fee: $315.

        (2a)         Despite subsections (1)(e) and (2)(e), an agent (or a sales representative employed by the agent) may disclose to a purchaser the fact that an offer has been made if the following requirements are satisfied:

            (a)         the amount of the offer and any terms or conditions of the offer must not, at any time before the sale, be disclosed to the purchaser;

            (b)         a notice in writing confirming the fact that the offer was made must be provided, on request, to the purchaser;

            (c)         a copy of the notice must be kept as part of the agent's records.

        (2b)         An agent (or a sales representative employed by the agent) who, in making a disclosure of a kind referred to in subsection (2a), contravenes or fails to comply with a requirement specified in that subsection is guilty of an offence.

Maximum penalty: $5 000.

Expiation fee: $315.

        (3)         Nothing in this section prevents details of an offer received by an agent (or a sales representative employed by the agent) from being communicated between persons engaged in the business of the agent as reasonably required for the purposes of the business.

        (4)         The vendor must, at the request of an agent or sales representative, as soon as practicable after receiving a copy of a signed offer, give the agent a notice in writing acknowledging its receipt.

Maximum penalty: $1 250.

        (5)         An agent authorised to sell residential land on behalf of a vendor, and any sales representative employed by the agent, must, before taking any step on behalf of the vendor directed towards acceptance of an offer for the land—

            (a)         ensure that the vendor has been given copies of all written offers for the land that have been received by the agent; and

            (b)         if a person has communicated to the agent or sales representative an offer for the land and there has been insufficient time to have the offer recorded in writing in accordance with subsection (1) or (2), ensure that the vendor has notice of the proposed offer.

Maximum penalty: $5 000.

        (6)         This section applies with modifications prescribed by the regulations in a case where the agent has authority to accept an offer for the land on behalf of the vendor.

        (7)         A contravention of this section does not affect the validity of an offer or a contract for the sale of the land.