Property Rights and Obligations: Where the Complexities Arise (NSW) – 5 program on demand webinar series

Session 1: Put and Call Options: Death by a Thousand Cuts?

Options agreements have become increasingly popular in uncertain economic times, but changing circumstances may have the effect of significantly reducing their attractiveness and lead to their demise. This session will examine the impact of recent legal developments, including:

• Why enter into an option arrangement?
• Key changes affecting options in the new conveyancing regulations, including disclosure obligations
• Has the decision in BP7 Pty Ltd v Gavancorp Pty Ltd [2021] NSWSC 265 now been put to rest?
• The financial impact of the recent changes to the Duties Act and the expanded scope of liability for put and/or call options
• Are option agreements still an attractive proposition?
• Strategies and drafting tips
• Recent cases.

Session 2: Having a Bet Each Way: Drafting and Enforcing Subject to Finance Clauses

Rising interest rates and falling house prices means buyers are genuinely nervous when entering the property market. Subject to finance and other conditional clauses in a contract of sale can minimise the risk but how helpful are they in practice and do they provide a false sense of comfort to a buyer? This session will help you brush up on your drafting skills and improve your understanding of finance approval pre-conditions, including:

• Key elements of subject to finance clauses
• Should a legal practitioner advise their client of the need for a subject to finance clause? Lemongrove Services Pty Ltd v Rilroll Pty Ltd [2019] NSWCA 174
• Why should a vendor agree to accept a clause and what limitations should they insist on
• Drafting tips for subject to finance clauses including time limits, notice provisions and purchaser obligations
• What constitutes “reasonable endeavours” and what proof is required that the obligation has been met?
• Are any additional special conditions needed to support subject to finance clauses?
• Negotiation, extension and other options for both vendor and purchaser
• Consequences of failure to obtain finance and essential steps the purchaser must take to rely on the contract
• Lessons from cases

Session 3: One In All In: Strata and Community Land Update

As more and more people, through choice or necessity, join the ranks of communal dwelling, the ongoing need for oversight, management and dispute resolution has resulted in significant legislative changes in recent times. This session will provide practitioners with an update on developments in this area, including:

• Amendments to the Fair Trading Act and Strata Schemes Management Act and what they mean for owners corporations and their members
• The NSW Parliamentary Inquiry into embedded networks and its potential impact on strata developments
• The SSMA five-yearly review recommendations and potential outcomes
• The impact of the new Community Land Management Act 2021 on community developments
• Recent cases

Session 4: Latest and Greatest Retail and Commercial Leasing Cases

This practical session provides an up-to-the-minute update on the latest leasing cases and the lessons they provide to property lawyers. Cases dealing with the following issues include:

• COVID-19 - failing to renegotiate rent in good faith and breaching covid rules
• Landlord refusal to upgrade fire solutions to allow tenants use as beauty treatment rooms
• Exercise of Option and s133E notice
• Termination and Administrator and s129 notice
• Whether a Terms Sheet could be a retail lease
• Update on Darzi Group cases
• Cases dealing with formation of lease, termination of lease and obligations in leases.
• Update on several 2021 or older cases which have been recently overturned

Session 5: Boosting the Coffers: An Update on NSW Property Taxes and Charges

Property transactions have always provided an important source of funding for both the State and Federal Governments, and following the spending over the last few years, the need for replenishment has resulted in further pain for players in the property market. This session will provide an update on these developments, including:

• New taxes and imposts under the Duties Act 1987
• How will the duty on options work?
• How attractive will the land tax proposal for first home buyers be?
• Trusts and beneficiaries in the duty firing line
• A focus on the anti-avoidance provisions and compliance issues
• Increased auditing and data matching – what will it mean for practitioners?
• FIRB amendments and other consequences for foreign purchasers and investors