Changes to the Contract for Sale and Purchase of LandSep 15, 2022
The 2022 edition of the Contract for the Sale and Purchase of Land has just been released by the Law Society of New South Wales, with the amendments to the previous edition mostly prompted by the commencement of the Conveyancing (Sale of Land) Regulation 2022 on 1 September 2022.
The latest edition of the Contract - which Shire Legal will start using when preparing contracts for its vendor clients - includes the following changes:
- The standard list of inclusions on the front page has been expanded to include air conditioning, ceiling fans and EV charger (ie electric vehicle charger).
- A space for tenants-in-common to note the shares, if they are to be unequal.
- it has been adapted to deal with the prevalence of eConveyancing. The standard clauses in earlier editions of the Contract provided for things such as service of the paper Transfer. There are no paper Transfers prepared anymore, so that clause was redundant, by way of example. The new contract also provides for new terms and processes that are required as part of the electronic workspace - such as enabling documents to be served via the electronic workspace.
- It expressly contemplates execution of the contract by electronic means, as well as provides an expanded execution clause (including an execution space for corporate parties).
- Prescribed warnings for smoke alarms and loose-fill asbestos insulation, and the cooling-off notice, have been amended.
- Clause 14.5 deals with the new first home buyer choice property tax.
- Provision for payment of the deposit via electronic funds transfer, and the time at which the funds are deemed to have been receipted.
A comprehensive list of the changes, and the rationale behind each of the changes, is contained in a paper published by the Law Society, available here.
Sign up to receive regular updates regarding changes to the law, Court decisions and other happenings of interest.