By Kay Keam - 10 Aug 2010
The latest edition of the real estate standard REINZ / ADLSi agreement for sale and purchase is to be released on Monday, 16 August 2010. The agreement has been updated to incorporate legislative changes and the direction by the Supreme Court in the Regalwood case to incorporate a disputes resolution process.
Vendors will no longer be able to demand settlement in full
where there is an allegation of error, misdescription, breach of
warranty or other equitable set off. Purchasers will instead
now be able to require that an amount be set aside from the price
paid on settlement pending resolution of the dispute. This
should avoid the undesirable result of purchasers having to sue a
vendor who no longer has control over the settlement money or who
may have absconded.