Attorney-General, Simon Corbell, is reminding real estate agents of their obligations under the Australian Consumer Law (ACL), the Civil Law (Sale of Residential Property) Act 2003 and the Agents Act 2003, in relation to disclosure and making false or misleading representations.
“Recent months have shown a general lack of awareness by some people in the real estate industry about their obligations to disclose information to potential buyers when selling property or land in the ACT. This lack of awareness relates particularly to the status of a Development Approval (DA) for a property,” Mr. Corbell said.
Mr. Corbell explained that failure to disclose information can result in the Office of Regulatory Services (ORS) taking disciplinary action against agents who have acted dishonestly. The criminal and civil penalties for engaging in misleading or deceptive conduct can extend to $1.1 million under the ACL. In addition, agents may lose their ability to work in the ACT.
“If an agent knows of circumstances that would reasonably affect the value of the property, or the decision to even purchase the property, and does not disclose the circumstances to a purchaser, the agent is potentially acting dishonestly and deceitfully.” Mr. Corbell commented.
“Commencing shortly, the ORS will be conducting a proactive compliance inspection program, engaging with and educating the real estate industry about their obligations, including the need to disclose certain information about the property or sale,” Mr. Corbell said.