Consequences of resident’s rescission of service contract
56 Consequences of resident’s rescission of service contract
This section applies if—
a resident of a retirement village serves a rescission notice in relation to the resident’s service contract; and
the resident does not serve a rescission notice in relation to the residence contract.
For how documents may be served, see the Legislation Act, pt 19.5.
The resident and the operator of the village must attempt to renegotiate the service contract.
If the operator and the resident cannot agree on the terms of the new service contract, the operator or the resident may apply to the ACAT for an order setting out the terms of the new contract.
On application, the ACAT may—
make the order sought; and
if the ACAT considers it appropriate, order the operator and the resident to enter into a new contract on the terms set out in the order.
Section 47 (Operator must allow time for reading of village contract) does not apply to a new service contract arising out of an order of the ACAT under this section.
This Act’s bill:Explanatory statementSecond reading speech
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