News and views

Before a buyer signs a sale and purchase agreement for a unit title property, the seller must give the buyer a “pre contract disclosure statement”. The second schedule to the regulations contains the form of pre contract disclosure statement that must be used. The disclosure statement must include the following information...

When a property is owned by more than one person, it is important to know who needs to sign the listing agreement and the sale and purchase agreement. Also, when you are having an agreement signed by a purchaser which is a trust or company, you need to know who should sign for the purchaser.

In June, the High Court awarded exemplary damages against a lessee who had breached the terms of its pastoral lease, but what are “exemplary damages”? The case involved a company owned by John and Mary Lee. The company was the lessee under a pastoral lease of land in Cardrona Valley. Next door was a freehold property (“Waiorau”) owned by John and Mary Lee, on which they operated snow related businesses.

It is important to read the terms of the listing authority so you know how long you are appointing an agent for, especially if it is a sole listing, and when the listing comes to an end.

“A verbal contract isn’t worth the paper it is written on”- Sam Goldwyn Sam Goldwyn recognised the importance of a written contract. A recent Supreme Court case (Vector Gas Limited v. Bay of Plenty Energy Limited) highlights the importance of careful and accurate drafting of contracts.

When a party to an agreement for sale and purchase doesn’t want to be under an absolute obligation to have to do something, it is usual to add a clause which requires a party to use “best endeavours” or “reasonable endeavours” to do that thing. But what do those phrases mean?