Victorian Consolidated Legislation

Sale of Land Act 1962 - SECT 29A

What is a terms contract?

29A. What is a terms contract?



(1) For the purposes of this Act a contract is a terms contract if it is an
executory contract for the sale and purchase of any land under which the
purchaser is-

   (a)  obliged to make 2 or more payments (other than a deposit or final
        payment) to the vendor after the execution of the contract and before
        the purchaser is entitled to a conveyance or transfer of the land; or

   (b)  entitled to possession or occupation of the land before the purchaser
        becomes entitled to a conveyance or transfer of the land.

(2) In subsection (1)-

deposit means a payment made to the vendor or to a person on behalf of the
vendor before the purchaser becomes entitled to possession or to the receipt
of rents and profits under the contract; final payment means a payment on the
making of which the purchaser becomes entitled to a conveyance or transfer of
the land.

Subdivision 2-Certain terms contracts prohibited