BSBCNV502 Assessment – Read and interpret a legal documents and provide advice
W1: Explain the difference between the terms: shall, may, must, will
Has the Sale of Land Act changed the legal position of purchasers of land from caveat emptor to caveat venditor by incorporating section 32?
This is the legislation under which you operate. You should download a copy of this to your computer and you will find that it has an inbuilt hyperlink index that takes you to the exact section your need to read. The start of the act looks like this:
Version No. 011
Conveyancers Act 2006
No. 75 of 2006
Version incorporating amendments as at 24 August 2011
Now download the rest of the act for your reference and include the contents first page (only) with your assessment submission.
W2: Not everyone can know everything. Do you/your organisation have a network of other professionals you use for advice and as a resource?
If you were still uncertain of the advice you have received, how else could you confirm it?
Download a copy of The Conveyancers (Professional Conduct and Trust Account) Regulations and include the first page in your submission
P is purchasing from V under an incomplete terms contract of sale. P sells the same land to Z who pays 10% deposit and is obliged to pay the balance of purchase money upon the expiration of 30 days. Are there any Sale of Land Act consequences?
P is purchasing from V under an incomplete terms of contract. P sells the same land to Z who pays a sufficient deposit, under a further terms contract of three years to pay out the balance due under P’s prior contract with V
W3:Can this be done? Who do you refer to if you need assistance or guidance? Is this part of your organizations policies+procedures?
W4: A- Is it necessary to complete a Contract of Sale where a contract note has been used in the same transaction?
B- Obtain current year information leaflets (no charge) from the State Revenue Office in relation to Land Tax. This can be found at the SRO website.
W5 You are organising a new client meeting when you realise there will/could very likely be a language barrier. What do you do?
W6: Download a copy of the current Conveyancers Code for your reference and include page 1 in your submission.
|Shall ||Will ||Must ||May |
|The shall means duty to do something. It is not relatable with the term for future. It reflects on the capability of the subject for say buyer to do something.||The will is regarded as promise given to someone personally. This promise is not out of desire. It is relatable with the future terms.||The responsibility to perform of inert things is must.||They may is used in terms of permission taken before to do something.|
True, the vendor in accordance with provision 32 of Sales of Land Act, commit and give to the purchaser a statement, affixed by the vendor, containing all the relevant information. A second vendor's statement is not required if a contract of sale follows a contract note for the same land. Section 32 of the Sale of Land Act requires a vendor to disclose certain information and paperwork to a purchaser before the customer executes a contract (or contract note). The statement providing this information is known as a vendor's statement or the Section 32 Statement, and it is part of the contract. (Meagher, 2018)
We have also developed partnerships with bank borrowers for any clients wanting financial help; we send them to these recognized lenders to guarantee our customers are in safe hands, and the lender can supply the purchaser with any information necessary for getting financing and formal permission. (Bosch-Sijtsema, Gluch & Sezer, 2019)
The rules and regulations are base for the policies and procedures prepared for any corporate entity. The implementation of policies and procedures need to be in properly planned and prepared for ease in implementation. In case where the clients are seeking for any kind of information or guidance then best way to obtain such detail is to make reference to the executive heads of the corporate. The example given in the case study, where the incomplete contract is being undertaken as an incomplete contract, then in such scenarios the best assistance and guidance of executive is required. Otherwise, the incomplete contract has no relevance in real world. (Vasović)
It should be noted that when a contract note is utilized in the same transaction, a Contract of Sale must be completed. This is due to the fact that as the number of participants in the stock market grows, so do the chances of fraud and conflicts. However, it has been discovered that the Australian government has taken some efforts to safeguard the interests of ordinary investors. (Ullah, Sepasgozar & Wang, 2018). A It should be mentioned that as one of the first stages in this direction is the direction of the available digital agreement note, which indicates pricing, commission, and service steps in tax and STT. The procedure is as follows:
Capital Appreciation Calculation
The overall brokerage charged is computed.
Total computation of data for income and tax returns
If there is a disagreement with the broker, judicial proof is required.
One of the most specified components of a contract is the language barrier. It is critical to use adequate language clarity to ensure that the client understands the facets and elements of the contract that are entitled in a contract. As a result, whenever such scenarios arise, it is critical to offer a qualified translation to ensure that the customer understands the fundamentals of the contract title.
THE CONVEYANCING PROTOCOL OF THE LAW SOCIETY
The Law Society Convincing Protocol is the name given to this protocol.
The protocol was developed to ensure that buyers and sellers of the property engage farily in the contract. The lender is considered to be the attorney for customers and buyers and sellers can take loan for the same. The sequential process and guidelines that elaborates the property transactions deals. The residential flats or complex construction does not part with the protocol. (Conveyance protocol, 2019)
The contract or agreement means two parties come together to bind them legally under a contractual agreement. The intended legal relationship is the term used in the legal books for the term contract. The parties coming together being aware of what kind of agreement they are binding each other and have knowledge of details of the contract. The parties of the contract need to have knowledge and at the same time are capable to implement the contractual terms and conditions by abiding it. (Morstyn, Teytelboym & McCulloch, 2018)
The sales of land act prescribe under provision 32 about the vendor statements. The foremost purpose of the vendors statement is ensure that the purchaser becomes aware for all the legal needs before pursuing to purchase the land from any property vendor. There are several types of cost and expenses in alliance with the purchase of property. The purchaser need to be aware of all these cost and specific rates and taxes occurred while purchasing the property. (Syuib, 2020)
The Estate Agents Regulations 1997 defines the conveyances and duties of the real estate agents. The duty of the conveyance is to ensure that terms of contract of purchase of property are compiled by investigating in such regard. They have knowledge of law and can make formal terms and conditions for vendor’s sake to sale property. They are under compliance to go through the vendor statement and the contract note for the purpose of Contract of sale of Real Estate. In accordance with the common law, the conveyances are not allowed to legally interfere in the contract being part of the contract. They have power only to implement the section 32 of the sales of land. (Walsh & Fox O’Mahony, 2018)
The conveyances have to abide by the professional conduct, standards, trust accounts and other required protocols as notified by the government. The research work, certificate collection, physical inspection is undertaken legally as per the common law by the conveyances.
The provision 27 of the sales of land act, details about the vendor and purchaser relationship and several rights of purchaser. The contract of sale of land could become unconditional as per section 27. The money deposit matter is considered as unconditional for the vendor. The vendor send for request of payment and purchaser have to accept the title of the property within such time period. On acceptance of title by the purchaser, in accordance with section 27, the purchaser seems to be aged with the vendor for purchase of property.
The provision 32 of the Act has more reliance than the provision 27. The vendors are under liability to ensure that each documents and details of the contract is provided to the purchaser. The vendor statement plays very crucial part to ensure that the purchaser’s rights are safe and secured. The caveat emptor safeguards the right of the purchaser as the purchase is being given right to exchange and investigates about the property with any solicitor or advocate.
The six methods are being established under the Transfer of Land (single Register) Act, 1998 for combining general law and the functional area of new version of the act. Earlier practices under the act, states that general law land actions were coordinated under the operational area of the transfer of land act, 1958. While the situation is not same in the reformed act. The legal actions and suits under the act have accelerated for fast recovery from the filed suits. The ease in distinction between the tangible and intangible assets have outpace with the reformed act. To clarify the difference more appropriately, it can be said, property and equipment’s are tangible part of the property. This helps to get finance and provides long term benefits. These assets help to deal with the business risks.