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ARTICLE · 14 MAY 2010

The Implication of Unfair Contracts Terms on Property Developers

HopgoodGanim
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The Federal Government has introduced legislation which may render certain provisions in "off-the-plan" sale contracts and other land sale agreements (such as retirement village contracts and manufactured homes site agreements) void because they are "unfair".

AustraliaReal Estate and Construction
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Tony Baldwin, Partner

The Federal Government has introduced legislation which may render certain provisions in "off-the-plan" sale contracts and other land sale agreements (such as retirement village contracts and manufactured homes site agreements) void because they are "unfair".

This latest consumer driven legislation, the Trade Practices Amendment (Australian Consumer Law) Act (No. 1) 201, amends certain provisions of the Trade Practices Act 1974 by inserting new provisions dealing with "standard form contracts". In short, where a provision of a standard form contract is considered "unfair" to the relevant consumer, that provision will be void.

Summary of the amendments to the Trade Practices Act

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