Victorian Consolidated Legislation

Sale of Land Act 1962 - SECT 32

Statement of matters affecting land being sold3

32. Statement of matters affecting land being sold3



(1) A vendor under a contract for the sale of land shall-

   (a)  give to the purchaser before he signs the contract a statement signed
        by the vendor; and

   (b)  include in the contract a statement-

containing the matters specified in subsection (2).

(1A) A vendor under a contract for the sale of land on which there is a
residence must give to the purchaser before the purchaser signs the contract,
a statement signed by the vendor giving particulars of-

   (a)  any building permit under the Building Act 1993 in the preceding 7
        years in relation to a building on the land; and

   (b)  in the case of a residence to which Part 2 of the
        House Contracts Guarantee Act 1987 applies which was constructed by an
        owner-builder within the meaning of that Act within the preceding 7
        years, any guarantee under that Act applying to that residence; and

   (c)  in the case of a residence to which section 137B of the
        Building Act 1993 applies which was constructed within the preceding 6
        years, any required insurance under that Act applying to that
        residence.

(2) The statements required by subsection (1) shall contain the following
matters-

   (a)  particulars of any mortgage (whether registered or unregistered) over
        the land, which is not to be discharged before the purchaser becomes
        entitled to possession or to the receipt of rents and profits,
        including the particulars specified in Schedule 1;

   (aa) particulars of any charge (whether registered or not) over the land
        imposed by or under an Act to secure an amount due under that Act,
        including the amount owing under the charge;





   (b)  a description of any easement, covenant or other similar restriction
        affecting the land (whether registered or unregistered) and
        particulars of any existing failure to comply with the terms of that
        easement, covenant or restriction;

   (c)  in the case of land to which a planning instrument applies a statement
        containing-

   (i)  the name of the planning instrument;

   (ii) the name of the responsible authority;

   (iii) the zoning of the land under that instrument or, in a case where the
        land is reserved under that instrument, the purpose for which it is
        reserved;

   (iv) where a planning instrument prohibits the construction of a dwelling
        house on land outside the metropolitan area, notice of such
        prohibition;

   (ca) a warning to the following effect-

'Important notice to purchasers:

The use to which you propose to put the property may be prohibited by planning
or building controls applying to the locality or may require the consent or
permit of the municipal council or other responsible authority. It is in your
interest to undertake a proper investigation of permitted land use before you
commit yourself to buy.';

   (cb) a warning to the following effect-

'Important notice to purchasers: The property may be located in an area where
commercial agricultural production activity may affect your enjoyment of the
property. It is therefore in your interest to undertake an investigation of
the possible amenity and other impacts from nearby properties and the
agricultural practices and processes conducted there.';

   (d)  in any case-

   (i)  the amount of any rates, taxes, charges or other similar outgoings
        affecting the land and any interest payable on any part of those
        rates, taxes, charges or outgoings which is unpaid including any
        rates, taxes, charges or outgoings for which the purchaser may become
        liable in consequence of the sale and which the vendor might
        reasonably be expected to have knowledge of; or

   (ii) a statement that the total amount of those rates, taxes, charges or
        other similar outgoings and interest does not exceed the sum
        specified;

   (e)  particulars of any notice, order, declaration, report or
        recommendation of a public authority or government department or
        approved proposal affecting the land, including any notice of
        intention to acquire served under section 6 of the
        Land Acquisition and Compensation Act 1986, being a notice, order,
        declaration, report, recommendation or approved proposal of which the
        vendor might reasonably be expected to have knowledge;

   (ea) a list of the following services, indicating in respect of each
        whether the service is connected to the land and, in the case of any
        service connected, the name of the authority supplying the service:

Electricity supply;
Gas supply;
Water supply;
Sewerage;
Telephone services;

   (eaa) in the case of any water supply or sewerage service connected to the
        land that is not of the standard level available in the locality,
        particulars of the level of service provided;

   (eb) a warning to the effect that purchasers should check with the
        appropriate authorities as to the availability of, and the cost of
        providing, any essential services not connected to the land;

   (ec) if there is no access to the property by road, a statement that there
        is no such access;



   (f)  in the case of a terms contract where the purchaser is obliged to make
        two or more payments to the vendor after the execution of the contract
        and before the purchaser is entitled to a conveyance or transfer of
        the land, the information set out in Schedule 2; and

   (g)  where the contract does not provide for the land to remain at the risk
        of the vendor until the purchaser becomes entitled to possession or
        receipt of rents and profits particulars of any policy of insurance
        maintained by the vendor in respect of any damage to or destruction of
        the land;



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        (i)    particulars of any current land use restriction notice given in
               relation to the land under the
               Agricultural and Veterinary Chemicals (Control of Use) Act 1992
               due to contamination.





(3) The vendor shall attach to the statement required by paragraph (a) of
subsection (1) and to the contract-

   (a)  a copy of (or, in the case of land under the
        Transfer of Land Act 1958, a reproduction of, or statement of
        information as to, being a reproduction or statement provided by the
        Registrar) either-

   (i)  in the case of land under the Transfer of Land Act 1958 the
        Certificate of Title; or

   (ii) in any other case-

                (A)  the last conveyance in the chain of title to the land; or

                (B)  any other document which gives evidence of the vendor's
                     title to the land;

   (b)  where the vendor is not the registered proprietor of the land or the
        owner of the estate in fee simple in the land, evidence of his right
        or power to sell the land;

   (ba) in the case of land which is the subject of a subdivision other than a
        subdivision referred to in paragraphs (c), (d) or (e), a copy of (or a
        reproduction provided by the Registrar of or a statement provided by
        the Registrar as to the information in) the plan of subdivision which
        has been approved by the Registrar under section 97 of the
        Transfer of Land Act 1958 or registered under the
        Subdivision Act 1988, or where the plan has not been approved or
        registered, a copy of the plan of subdivision which has been sealed or
        certified by the council of the municipality concerned or, where the
        plan has not yet been sealed or certified, a copy of the latest
        version of the plan, together with details of any amendments proposed
        to the plan and, in the case of a staged subdivision within the
        meaning of section 37 of the Subdivision Act 1988-

   (i)  if the land is in the second or a subsequent stage, a copy of (or a
        reproduction provided by the Registrar of or a statement provided by
        the Registrar as to the information in) the plan for the first stage;
        and

   (ii) details of any requirements in a statement of compliance relating to
        the stage in which the land is included that have not been complied
        with; and

   (iii) details of any proposals relating to subsequent stages that are known
        to the vendor; and

   (iv) a statement of the contents of any permit under the
        Planning and Environment Act 1987 authorising the staged subdivision;

   (c)  in the case of land which is the subject of a strata subdivision, a
        copy of (or a reproduction provided by the Registrar of or a statement
        provided by the Registrar as to the information in) the plan of strata
        subdivision which has been registered under the Strata Titles Act
        1967, or where the plan has not been registered or a proposed plan of
        redevelopment has not been approved, a copy of the plan which is
        proposed to be registered or approved;

   (d)  in the case of land which is the subject of a cluster subdivision, a
        copy of (or a reproduction provided by the Registrar of or a statement
        provided by the Registrar as to the information in) the plan of
        cluster subdivision which has been registered under the Cluster Titles
        Act 1974 or where the plan has not been registered or a proposed plan
        of redevelopment has not been approved, a copy of the plan which is
        proposed to be registered or approved; and

   (e)  in the case of a building or building and land which has been
        subdivided under section 97 of the Transfer of Land Act 1958, a copy
        of (or a reproduction provided by the Registrar of or a statement
        provided by the Registrar as to the information in) the plan of
        subdivision which has been approved by the Registrar.



(3A) If the land is affected by an owners corporation within the meaning of
the Owners Corporations Act 2006, the vendor must attach to the statement
required by subsection (1)(a) and to the contract-

   (a)  a copy of the current owners corporation certificate issued in respect
        of the land under the Owners Corporations Act 2006; and

   (b)  a copy of the documents required to accompany the owners corporation
        certificate under section 151(4)(b) of the
        Owners Corporations Act 2006.

(4) Where the information required by any one of paragraphs (c), (d) or (e) of
subsection (2) is contained in a certificate issued by the relevant authority
it shall be sufficient compliance with the requirements of that paragraph of
subsection (2) if that certificate or a copy of that certificate is attached
to the statement required by paragraph (a) of subsection (1) or to the
contract.

(5) Where a vendor-

   (a)  supplies false information to the purchaser in the statements or
        certificates required to be given by this section; or

   (b)  fails to supply all the information required to be supplied in the
        statements or certificates required to be given by this section-

the purchaser may rescind any contract for the sale of the land which has been
entered into on the basis of that information at any time before he accepts
title and becomes entitled to possession or to the receipt of rents and
profits.



(5A) Where-

   (a)  a notice of intention to acquire land has been served under section 6
        of the Land Acquisition and Compensation Act 1986; and

   (b)  the land is subject to a contract of sale-

the purchaser may rescind the contract at any time before the purchaser
accepts title and becomes entitled to possession or to the receipt of rents
and profits.

(6) Where a vendor knowingly or recklessly-

   (a)  supplies false information to the purchaser in the statements or
        certificates required to be given by this section; or

   (b)  fails to supply all the information required to be supplied in the
        statements or certificates required to be given by this section-

he shall be guilty of an offence and liable to a penalty of not more than 50
penalty units.

(7) Notwithstanding subsection (5) the purchaser may not rescind the contract
if the court is satisfied that the vendor has acted honestly and reasonably
and ought fairly to be excused for the contravention and that the purchaser is
substantially in as good a position as if all the relevant provisions of this
section had been complied with.

(8) A provision in a contract for the sale of land whereby any provision of
this section is excluded, modified or restricted shall be void and of no
effect.





(9) Where a vendor and purchaser have entered into a contract for the sale of
land in respect of which statements under this section have been given and
that vendor and purchaser enter into a subsequent contract in relation to the
same land in substantially the same terms as the original contract the vendor
shall not be required in respect of the subsequent contract to give to the
purchaser the statements required by this section.

(10) It is and is to be taken always to have been sufficient compliance with
subsection (1A)(c) if particulars are or were given of a HIH policy (within
the meaning of Part 6 of the House Contracts Guarantee Act 1987) applying to
the residence.



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Division 3-Insurance