New BCCM Form 14 (version 11) Information Statement
Pursuant to the Body Corporate and Community Management Act 1997 (Qld), the Seller or Seller's agent must attach a Body Corporate and Community Management ("BCCM") Form 14 Information Statement to a contract for a lot sold in a community titles scheme.
The new BCCM Form 14 (version 11) Information Statement has been released and is effective for all contracts in a community titles scheme from 1 August 2013.
No Transitional Period
There is no transitional period. The New BCCM Form 14 (version 11) Information Statement must be attached to all contracts in a community titles scheme from 1 August 2013.
Using the BCCM Form 14 (version 10) Information Statement from 1 August 2013 may create termination rights for the buyer. A Contract issued with the BCCM Form 14 (version 10) Information Statement but not fully signed and dated will need to be cancelled and a new contract issued with the correct form.
Community Management Statement Disclosure Obligations
The Community Management Statement ("CMS") is no longer required to be disclosed to the buyer of a registered lot sold in a community titles scheme. Under the old legislation, providing the incorrect or outdated CMS created termination rights for a buyer.
The new BCCM Form 14 (version 11) Information Statement advocates that buyers undertake the search themselves. A copy of the proposed CMS must be disclosed to buyers for off the plan lots sold in a community titles scheme.
Other Disclosure Obligations
The Seller of a lot sold in a community titles scheme is no longer required to disclose the following:
- a statement about the extent to which the lot owner's contributions are based on the contribution schedule lot entitlements;
- a statement about the extent to which the lot owner's contributions are based on the interest schedule lot entitlements; and
- a statement that the entitlements are set out in the community management statement.
Are you buying or selling in a community titles scheme? ClarkeKann are available to assist with any query you have regarding the new BCCM Form 14 (version 11) Information Statement and disclosure obligations.
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