South Australian Consolidated Acts

LAND AND BUSINESS (SALE AND CONVEYANCING) ACT 1994 - SECT 24A

24A—Representations as to likely selling price in marketing residential land

        (1)         For the purposes of this section—

            (a)         a representation is made in marketing land if—

                  (i)         it is made in an advertisement for the sale of the land that is published, or caused to be published, by the agent; or

                  (ii)         it is made (whether orally or in writing) to a purchaser who has not commenced negotiations for the purchase of the land; and

            (b)         information in an advertisement is a representation as to a likely price or likely price range for the sale of land if it could be reasonably taken to be such; and

            (c)         a statement as to the price actually sought by, or acceptable to, the vendor of land is not a representation as to a likely price or likely price range for the sale of the land provided that the amount stated as the price is the same as the selling price sought by, or acceptable to, the vendor as expressed in the sales agency agreement at the time of the statement; and

            (d)         "prescribed minimum advertising price", in relation to a representation, is the amount that is the greater of—

                  (i)         the agent's estimate of the selling price as expressed in the sales agency agreement as a single figure at the time of the representation, or, if that estimate is expressed in the agreement at that time as a price range, the lower limit of that range; or

                  (ii)         the selling price sought by, or acceptable to, the vendor as expressed in the sales agency agreement at the time of the representation.

        (2)         In marketing residential land that an agent is authorised to sell on behalf of a vendor, the agent or a sales representative employed by the agent must not—

            (a)         make a representation as to a likely price for the sale of the land that is less than the prescribed minimum advertising price; or

            (b)         make a representation as to a likely price range for the sale of the land specifying—

                  (i)         as the lower limit of the range an amount less than the prescribed minimum advertising price; or

                  (ii)         as the upper limit of the range an amount exceeding 110 per cent of the lower limit.

Maximum penalty: $10 000.