Australian Capital Territory Numbered Regulations Australian Capital Territory Numbered RegulationsSchedule 1 Contents of village contracts
(s 13 (1))
Part 1.1 Matter to be included in village contracts
1.1 Information to be included in village contract
A village contract for a resident in a retirement village must include the following information:
(a) the name of the retirement village to which the contract relates;
(b) the address in the village of the resident's residential premises;
(c) the full names of the parties to the contract;
(d) the signatures of the parties to the contract;
(e) the name and address of an operator of the village who is not a party to the contract;
(f) the name and address of the resident's agent (if any) appointed under the Act
, section 101 (Right to appoint agent);
(g) the date the disclosure statement and the information under the Act
, section 28 (Information to be given to prospective residents) were given to the resident (or a person acting on the resident's behalf);
(h) the date the contract is made;
(i) if the operator is the other party to the contract—
(i) the name and address of the operator's agent (if any);
(ii) the date the copy of the contract was given to the resident (or a person acting on the resident's behalf);
(iii) the amount of any ingoing contribution payable by the resident and the date by when it must be paid;
(iv) the amount of recurrent charges payable by the resident as at the date the contract is drafted;
(v) the date from which those charges become payable;
(vi) the date agreed as the date the resident is entitled to occupy the premises (subject to completion of construction, and not precluding an earlier date if an earlier date is later agreed between the operator and the resident);
(j) a provision reflecting the Act
, section 88 (Compliance with village rules by people other than operator and residents);
(k)
if a residence contract entitles the resident to the use of a garage,
parking space or storeroom—details of the garage, parking space or
storeroom.
Part 1.2 Headings and additional matter to be included in village contracts
(1) A village contract must include a clause with the heading ‘Cooling-off period' printed in bold font.
(2) The clause must—
(a) explain the resident's rights to rescind the contract free of any loss or penalty during the cooling-off period; and
(b) state—
(i) the length of the cooling-off period; and
(ii) the method by which the resident can rescind the contract; and
(iii) the time within which any money the rescinding party has paid under the contract is to be repaid.
(3) A residence contract must include a statement to the effect that the cooling-off period is waived if the resident begins living in the premises.
1.3 Retirement village legislation
(1) A village contract must include a clause with the heading ‘Retirement village legislation' printed in bold font.
(2) The clause must include a statement—
(a) about the existence of the Act and this regulation; and
(b) to the effect that the contract is subject to the provisions of the Act and this regulation.
(1) A village contract must include a clause with the heading ‘Ingoing contribution' printed in bold font.
(2) The clause must include the following:
(a) if an ingoing contribution is to be paid by instalments—a statement setting out the conditions under which it is to be paid;
(b) a statement about whether interest is payable to the resident while the operator has use of the ingoing contribution;
(c) if part or all of the ingoing contribution is to be non-refundable—a statement to that effect;
(d) a statement about how much of the ingoing contribution the resident will get back if, after the cooling-off period, the resident—
(i) dies before taking up residence in the residential premises; or
(ii) after taking up residence, permanently vacates the premises within the period stated in the contract.
(1) A village contract must include a clause with the heading ‘Recurrent charges' printed in bold font.
(2) The clause must include the following:
(a) the intervals or dates when any recurrent charges are payable under the contract;
(b) how the recurrent charges may be paid;
(c) if recurrent charges payable by the resident are to be amended in accordance with a fixed formula—
(i) the intervals or dates when recurrent charges are to be amended; and
(ii) the fixed formula used to decide amendments in the amount of recurrent charges; and
(iii) the amount of written notice (not less than 14 days) that will be given to the resident to amend the amount of recurrent charges;
(d) if recurrent charges payable by the resident may be amended other than in accordance with a fixed formula—
(i) the intervals or dates when the operator may propose an amendment of the amount of recurrent charges; and
(ii) any upper limit by which the operator agrees not to propose an increase; and
(iii) the amount of written notice (not less than 60 days) that will be given to the resident if an amendment is proposed; and
(iv) a statement to the effect that the amount of recurrent charges cannot be amended unless affected residents consent to the amendment or the ACAT orders the amendment to take effect;
(e) a statement to the effect that if the resident is absent from the village for any reason for at least the period (of not more than 28 consecutive days) stated in the contract, the resident is not liable for recurrent charges for optional services in relation to the remainder (if any) of that absence;
(f) a statement about whether the resident is liable to continue to pay recurrent charges after permanently vacating the premises and, if so, for what period and under what conditions.
(1) A village contract must include a clause with the heading ‘Services and facilities' printed in bold font.
(2) The clause must include the following:
(a) a description of all services provided or made available to the resident by, or on behalf of, the operator;
(b) a statement about any additional or optional services available to the resident on a ‘user pays' basis, and the cost of those services as at the date of preparation of the contract;
(c) a list of all facilities within the village available for the resident's use.
(3) The contract must identify any services or facilities that the development consent for the village requires to be provided for the life of the village.
(4) Representations (if any) about proposed services or facilities made before the contract is entered into—
(a) must be stated in the contract; and
(b) must identify the service or facility; and
(c) must state the date by when that service or facility is to be provided or made available.
(5) The contract—
(a) may distinguish between general services and optional services; and
(b) if it does, must include a statement to the effect that the ACAT has the power to override this determination in the event of a dispute.
(6) The contract must include a statement drawing the resident's attention to the fact that services and facilities may be reduced or (except for those required by the development consent to be provided for the life of the village) withdrawn or otherwise amended, but only if the residents of the village pass a special resolution in accordance with the provisions of the Act.
(7) The contract must make it clear that the resident has no right to compensation if services or facilities are reduced or withdrawn or otherwise amended in accordance with a special resolution of the residents.
1.7 Fixtures, fittings and furnishings
(1) A village contract must include a clause with the heading ‘Fixtures, fittings and furnishings' printed in bold font.
(2) The clause must list the fixtures, fittings and furnishings that are to be provided in the residential premises.
(1) A village contract must include a clause with the heading ‘Repairs and maintenance' printed in bold font.
(2) The clause must set out the process by which the resident can ask the operator to carry out necessary repairs and maintenance.
(1) A village contract must include a clause with the heading ‘Alterations and additions' printed in bold font.
(2) The clause must—
(a) state the conditions under which a resident may alter or add to the residential premises; and
(b) include a provision to the effect that the resident may, at any time before permanently vacating the premises, remove any fixture that the resident has added to the premises.
1.10 Operator's access to premises
(1) A village contract must include a clause with the heading ‘Operator's access to premises' printed in bold font.
(2) The clause must set out the circumstances under which the operator, or a person authorised by the operator, may enter the residential premises.
(1) A village contract must include a clause with the heading ‘Village rules' printed in bold font.
(2) The clause must include a statement to the effect that if a village rule is inconsistent with a term of a village contract—
(a) the village rule prevails to the extent of the inconsistency; but
(b) if the inconsistent term of the village contract is a standard term, the term prevails over the rule.
(1) A village contract must include a clause with the heading ‘Dispute resolution' printed in bold font.
(2) The clause must—
(a) set out the resident's right to apply to the ACAT if the resident considers a term of the contract to be harsh, oppressive, unconscionable or unjust; and
(b) draw the resident's attention to the existence of the ACAT, and the resident's right to apply for a range of orders from the ACAT, including the following:
(i) an order that amends or sets aside a provision of the contract or a village rule that conflicts with the Act;
Note A reference to an Act includes a reference to the statutory instruments made or in force under the Act, including any regulation (see Legislation Act
, s 104).
(ii) an order that the operator comply with the Act;
(iii) an order to enforce a provision of the contract or a village rule.
(1) A village contract must include a clause with the heading ‘Changes in operator' printed in bold font.
(2) The clause must—
(a) include a statement to the effect that the terms of the contract are enforceable against an operator of the village; and
(b) if a trustee is involved—set out the conditions on which the trustee is appointed and any rights the resident may have because of that appointment.
(1) A village contract must include a clause with the heading ‘Ending the contract' printed in bold font.
(2) The clause must—
(a) set out the methods by which the contract may be ended, including a list of the grounds on which the resident or operator may apply to the ACAT to end the contract; and
(b) include a statement to the effect that the contract cannot be ended by the operator unless the operator obtains an order from the ACAT.
(1) A village contract must include a clause with the heading ‘Transfers' printed in bold font.
(2) The clause must—
(a) set out the conditions, if any, under which the resident may ask for a transfer to other residential premises within the retirement village, or to other accommodation for older people run by the same operator; and
(b) disclose the general financial basis on which a transfer may be effected.
(3) If the operator of the retirement village has an associated facility in which residential care under the Aged Care Act 1997
(Cwlth) is provided, the clause must also include a statement to the effect that—
(a) places in those facilities are allocated on the basis of a resident's needs; and
(b) entry is subject to an assessment for admission; and
(c) a transfer to the associated facility cannot be guaranteed.
(1) A village contract must include a clause with the heading ‘Departure fees' printed in bold font.
(2) The clause must—
(a) state whether a departure fee is payable by the resident on the ending of the contract; and
(b) if a departure fee is payable—set out the method of working out the departure fee; and
(c) include a statement to the effect that no departure fee is payable in relation to any period after the resident permanently vacates the premises.
(1) A village contract must include a clause with the heading ‘Capital gain or loss' printed in bold font.
(2) The clause must state—
(a) whether any capital gain or loss, or increase in ingoing contribution paid by the incoming resident, is to be shared between the resident and the operator; and
(b) if so—the relevant percentages.
1.18 Refund of payment to resident
(1) A village contract must include a clause with the heading ‘Refund of payment to resident' printed in bold font.
(2) The clause must—
(a) set out in full the method of working out any refund or payment due to the resident on ending the contract, the time for its payment and any relevant conditions on its payment; and
(b) if 2 or more residents are parties to the contract—
(i) state whether a partial refund is payable if 1 resident permanently vacates the residential premises; and
(ii) if so, the circumstances under which a partial refund is payable.
(1) A village contract must include a clause with the heading ‘Changes to this contract' printed in bold font.
(2) The contract must include a statement to the effect that the resident is not obliged to agree to amend the contract, or to end the contract and enter into a new one, because of changes in legislation (unless the legislation requires the amendment or ending) or for any other reason.
(1) A village contract must include a clause with the heading ‘Annexures' printed in bold font.
(2) The clause must mention the following, which must be annexed to the contract:
(a) a copy of the disclosure statement given to the resident;
(b) a copy of the current village rules (if any);
(c) a copy of any applicable condition report.