Unit Titles Regulations 2002

regulation 14

Part A – Warning

Warning: This statement contains details of a building development which is proposed to be developed in accordance with [insert cross-reference(s) to part(s) of the statement dealing with the matters specified in Part C] of this statement.

Persons interested are advised that the proposed development may be varied and may not be completed. Any departure from the proposals outlined in the statement may attract provisions of the Planning Act 1999 and Part IVC of the Unit Titles Act 1975.

This statement should not be considered alone but in conjunction with the results of the searches and inquiries normally made in respect of a lot or unit in a building development and a lot or unit resulting from the subdivision of land in accordance with all relevant instruments of determination under the Planning Act 1999.

Part B – Details of buildings

[Here set out details of the buildings proposed to be erected, altered or added to, including a copy of the relevant plans and specifications.]

Part C – Statements

1. Prohibition on unjust or oppressive obligations

A provision of this disclosure statement that imposes an obligation that is unjust or oppressive on a prospective owner of a building lot or unit is not binding on, and cannot be enforced against, the prospective owner. (See section 26ZK(2) of the Unit Titles Act 1975.)

2. Statutory requirements for variations to this disclosure statement

(1) This disclosure statement contains a procedure setting out how this disclosure statement may be varied (see further item no. 9). That procedure operates subject to a provision (if any) in the Unit Titles Regulations setting out the procedure by which a disclosure statement may be varied. (See section 26ZK(4), (5) and (6) of the Unit Titles Act 1975.) If item no. 9 is not completed or does not comply with the requirements of regulation 18(2) of the Unit Titles Regulations, it is taken to contain the model procedure for variation set out in Schedule 6 to those Regulations.

(2) This disclosure statement may also be varied pursuant to section 26ZM of the Unit Titles Act 1975. That section permits variation in one of 2 ways.

A. A variation may be agreed to by all of the lot owners, persons who have contracted to buy a lot and persons with registered interests in the land.

B. If the persons referred to in A. cannot agree, the Minister administering the Unit Titles Act 1975 may (on the application of the developer, the proprietor of a building lot or a person who has contracted with the developer to purchase a proposed building lot) consent to a variation. The Minister may only consent to a variation if:

(i) the developer has failed, or expects or is expected to be unable, to complete the building development in accordance with this disclosure statement; and

(ii) the Minister has complied with section 26ZM(3) of the Unit Titles Act 1975.

(3) A variation of this disclosure statement is of no effect unless it is lodged with, and registered by, the Registrar-General. (See section 26ZK(8) of the Unit Titles Act 1975.)

3. Statutory right to damages if developer fails to complete development in accordance with this disclosure statement

(1) If the developer fails to comply with this disclosure statement or to complete the building development in accordance with this disclosure statement, the proprietor of a building lot, a person who has contracted with the developer to purchase a proposed building lot or the proprietor of a unit within the building lot may, in addition to any other right that he or she may have at law or in equity, sue for and recover damages from the developer in the Tribunal. (See section 26ZO(1) of the Unit Titles Act 1975.)

(2) Without limiting (1), the proprietor of a building lot, a person who has contracted with the developer to purchase a proposed building lot or the proprietor of a unit within the building lot is entitled to recover any expected loss of capital appreciation of his or her building lot, proposed building lot or unit arising out of the failure (calculated to the date on which the building development was to be completed in accordance with this disclosure statement). (See section 26ZO(2) of the Unit Titles Act 1975.)

4. Contractual status of this disclosure statement

(1) Each contract entered into by the developer for the sale of a building lot, proposed building lot or other interest in the building development is, in addition to any other condition to which it is expressed to be subject, taken to be subject to the condition that the developer will construct and complete the building development in accordance with this disclosure statement. (See section 26ZX(1) of the Unit Titles Act 1975.)

(2) For the purposes of (1), a person who is a successor in title to a building lot, unit or other interest is taken to be the original purchaser from or contractor with the developer and may enforce the contract accordingly. (See section 26ZX(2) of the Unit Titles Act 1975.)

5. Multi-stage developments – construction and access zones for future stages

This item applies if the building development is to be completed in stages. The developer has against the building management corporation of, and the proprietor of each building lot in the completed stage or stages of, the building development the rights in relation to the construction and access zones specified in this disclosure statement in respect of each stage of the proposed building development as are provided in this disclosure statement. (See section 26ZY of the Unit Titles Act 1975.)

[Delete this item if inapplicable.]

6. Mechanism for obtaining agreement on contentious issues (section 26ZK(1))

(1) This item sets out the mechanism for obtaining agreement on contentious issues before a dispute arises.

(c) item 3, which is about damages for failing to complete the building development in accordance with this disclosure statement;

(d) item 7, which is about resolving disputes between the developer and the proprietor of a building lot or the proprietor of a unit;

(e) item 8 (if applicable), which is about the Minister appointing an arbitrator to resolve disputes;

[Here set out any other matters to which this item is subject. If there are no such other matters, enter 'NIL'.]

[Here set out what the developer and a proprietor of a building lot must do to obtain agreement on a contentious issue.

The matters that should be addressed include but are not limited to the following:

(a) the giving of notice of the issue in contention, including to persons who might be affected by the issue (e.g. a person who has contracted with the developer or the proprietor of the building lot to purchase the building lot or a person who has an estate or interest in the building lot);

(b) the provision of information about the issue in contention to a person to whom notice of the issue is given.]

7. Mechanism for resolving disputes (section 26ZK(1))

(1) This item sets out the mechanism for resolving disputes between the developer and the proprietor of a building lot or the proprietor of a unit.

(2) This item is subject to all of the following:

(c) item 3, which is about damages for failing to complete the building development in accordance with this disclosure statement;

(e) item 8 (if applicable), which is about the Minister appointing an arbitrator to resolve disputes;

[Here set out any other matters to which this item is subject. If there are no such other matters, enter 'NIL'.]

[Here set out what the developer and a proprietor of a building lot or the proprietor of a unit must do if they are in dispute and wish to reach agreement.

The matters that should be addressed include but are not limited to the following:

(a) the giving of notice of the dispute, including to a person who might be affected by the outcome of the dispute (e.g. a person who has contracted with the developer or the proprietor of the building lot or unit to purchase the building lot or unit or a person who has an estate or interest in the building lot or unit);

(b) the provision of information about the dispute to a person to whom notice of the dispute is given;

(c) the appointment of a person to act as an arbitrator, mediator or conciliator in the dispute;

(d) the powers and functions of person appointed as an arbitrator, mediator or conciliator;

(e) the extent to which a party to the dispute must comply with a requirement of an arbitrator, mediator or conciliator during the course of arbitration, mediation or conciliation;

(f) the effect of a decision of an arbitrator, mediator or conciliator at the conclusion of the arbitration, mediation or conciliation.]

(4) If this item is not completed, this disclosure statement is taken to contain the model dispute resolution procedure set out in Schedule 5 to the Unit Titles Regulations.

8. The Minister has the power to appoint an arbitrator for the purposes of section 26ZN

The Minister has power to appoint an arbitrator to resolve a dispute about:

(a) a variation of this disclosure statement under section 26ZM of the Unit Titles Act 1975 (see further item 2(2)B); or

(b) any other matter involving this disclosure statement or the rights and obligations of the parties.

The Minister may only exercise those powers if this disclosure statement sets out that the Minister may appoint an arbitrator. If the developer wants a party to be able to apply to the Minister to exercise those powers, this disclosure must contain an express provision to that effect. (See section 26ZN of the Unit Titles Act 1975.)

The Minister has the power to appoint an arbitrator.

[Delete this item if the Minister is not to have the power to appoint an arbitrator.]

9. Mechanism for variation (section 26ZK(4))

(1) This item sets out a mechanism for varying this disclosure statement.

(2) This item applies subject to a provision (if any) in the Unit Titles Regulations setting out the procedure by which a disclosure statement may be varied.

[Here set out the procedure for varying this disclosure statement.

To comply with regulation 18(2) of the Unit Titles Regulations 2002, the following matters should be addressed:

(a) the persons who may apply for a variation of this disclosure statement;

(b) the giving of notice of the proposed variation, including to person who might be affected by the variation;

(c) whether the agreement of the developer to the proposed variation is required or not;

(d) whether the agreement of a majority of proprietors of building lots to the proposed variation is required or not and, if such a majority is required, whether it must be an ordinary, special or absolute majority.]

(4) If this item is not completed, or does not comply with regulation 18(2) of the Unit Titles Regulations 2002, it is taken to contain the model procedure for variation set out in Schedule 6 to the Unit Titles Regulations 2002.

10. Other matters

[Here set out details of the following:

– any concept plans for the future of the land

– any binding obligations on the developer in respect of the land

– any rights, duties and obligations for prospective owners of the building lots and in any units developed from those building lots

If there are no other matters to be disclosed by the developer, enter 'NIL'.]