Section 32 statements need not be attached to contract of sale

  • Author : Robert Hay QC - 29-05-2014

The vendor’s “section 32 statement” will not have to be attached to a contract for the sale of land following amendments to the Sale of Land Act 1962. See: s.4 of the Sale of Land Amendment Act 2014. The amendments have not yet commenced.

The latest day on which the changes can commence is 1 July 2015. See: s.2(3). The effect of the amendments is to replace s.32 in its entirety. Many of the changes do no more than restate the existing law.

The vendor’s statement need not be attached to the contract but must be given to the purchaser before the purchaser signs the contract. See: s.32(1). Where vendor’s statements have been given before the Act commences it will not be necessary to give a new vendor’s statement provided the land is not withdrawn from sale. See: the transitional provisions contained in s.6.


Some of the changes are:

(a)          the name of any planning overlay must be provided (s.32C(d)(iv));

(b)          there must be disclosure where a notice, order, declaration, report or recommendation of a public authority or government department or approved proposal that is “directly and currently affecting the land” (s.32D(a));

(c)           only non-connected services need be disclosed (s.32H);

(d)          where an owners corporation affects the land the vendor can provide prescribed information rather than the owners corporation certificate (s32F);

(e)          vendors have to make available to prospective purchasers of vacant residential land a “due diligence checklist” which is in a form approved by the Director of Consumer Affairs (see new division 2A).

The “due diligence checklist” must be published on the internet site for Consumer Affairs Victoria.

A purchaser may rescind the contract where false information is provided, or information not provided, or no s.32 statement is provided. See: s.32K.

David Lloyd of counsel gave an excellent presentation about the changes to the Act at a recent seminar hosted by Green’s List and those wishing to know more should contact Green’s List to view David’s presentation.

About the Author

Robert Hay QC

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