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RETIREMENT VILLAGES (CONTRACTUAL ARRANGEMENTS) REGULATIONS 2017 (SR NO 67 OF 2017) - REG 10

Matters that must not be included in residence or management contracts

A residence contract or a management contract must not include any of the following—

        (a)     a requirement for a resident to have a will or to advise the owner or manager of its location;

        (b)     a requirement for a resident to take out any insurance policy other than a liability policy for any motorised wheelchair operated by the resident;

        (c)     a requirement for a resident to pay the owner's or manager's costs for corresponding with the resident or for preparing or providing information required to be given to the resident other than costs of any audit under section 34(4) of the Act;

        (d)     if the amount of the resident's refundable in-going contribution depends on the duration of the resident's residence in the village and on the assumption that the premises are the resident's principal place of residence, a restriction on a resident's absence from the village other than a restriction that would result in the resident's premises no longer being the resident's principal place of residence;

        (e)     a requirement for a resident to pay liquidated damages for breach of a contract, other than a requirement to forfeit a deposit, or for a breach of a by-law relating to the village;

        (f)     an exclusion of or limitation on the owner's or manager's liability for default or breach of duty;

        (g)     a right to recover administration and operating costs from a resident other than those—

              (i)     incurred while the resident resided in the village; or

              (ii)     associated with the resale or re-leasing of the resident's premises; or

              (iii)     that are charges for personal services or that are maintenance charges, the recovery of which would not constitute an offence against section 38A or 38B of the Act;

        (h)     a requirement, other than a requirement of a clause incorporated by regulation 7, for a resident to pay more than half the costs of any valuation of the resident's premises or residence right that is required or permitted, except where the resident has acted unreasonably;

              (i)     a requirement for a resident to pay costs of enforcing the contract;

        (j)     a right of an owner or manager to relocate a resident to other premises without the resident's consent, except for an emergency (including where the resident's premises are destroyed or severely damaged or where a resident's safety, health or property is endangered);

        (k)     a restriction on the operation or membership of the residents committee;

        (l)     a provision to the effect that the written contract represents the entire agreement between the parties.



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