Land Title Act 1994

This section applies if, without reasonable cause—

a priority notice is deposited or extended; or

a priority notice is not withdrawn after it is no longer needed to prevent the registration of an instrument.

The person for whom the priority notice was deposited must compensate another person who suffers loss or damage because of the deposit or extension of the notice, or the failure to withdraw the notice.

In a proceeding for compensation under subsection (2)—

the Supreme Court may include a component for exemplary damages in a judgment for compensation; and

proof there was reasonable cause to deposit or extend the priority notice, or not to withdraw the notice after it was no longer needed to prevent the registration of an instrument, rests on the person for whom the notice was deposited.