The Retirement Villages Amendment (Standard Contract) Regulation 2013 (NSW) (Regulation) was officially notified today to commence on 1 October 2013. Significantly the Regulation incorporates provisions for a standard contract for all NSW retirement villages.The proposed regulations also incorporates:
- a general inquiry document; and
- a revised disclosure statement.
For more information on the changes previously proposed, see our previous article here.
The Regulation commences on 1 October 2013. This means that all operators in NSW must use the standard contract, inquiry document and revised disclosure statement from 1 October 2013.
For most operators, this will mean reviewing the form of standard contract and tailoring to their current village contract to meet the standard form.
It is important to note that the standard form contract does not attach to all forms of village contracts such as strata villages or for garages and car spaces. This means operators could be obliged to hold more than one form of contract for their village.
According to NSW Fair Trading the aim of the Regulation is to make it easier for prospective residents to compare the costs and conditions between villages before entering into a contract. What is more likely is that the volume of paper provided to prospective residents will increase with the addition of an inquiry document, the standard form and the modification to the standard form operators will seek to incorporate.