Contract Issues
Land and Conveyancing Law Reform Act 2009
Chapter 1
Contracts relating to land
Evidence in writing.
51.- (1) Subject to subsection (2), no action shall be brought to enforce any contract for the sale or other disposition of land unless the agreement on which such action is brought, or some memorandum or note of it, is in writing and signed by the person against whom the action is brought or that person’s authorised agent.
[SF 1695, s. 2]
(2) Subsection (1) does not affect the law relating to part performance or other equitable doctrines.
(3) For the avoidance of doubt, but subject to an express provision in the contract to the contrary, payment of a deposit in money or money’s worth is not necessary for an enforceable contract.
Passing of beneficial interest.
52.- (1) Subject to subsection (2), the entire beneficial interest passes to the purchaser on the making, after the commencement of this Chapter, of an enforceable contract for the sale or other disposition of land.
(2) Subsection (1) does not affect-
(a) the obligation of the vendor to maintain the land so long as possession of it is retained, or
(b) the liability of the vendor for loss or damage under any contractual provision dealing with such risk, or
(c) the vendor’s right to rescind the contract for failure by the purchaser to complete or other breach of the contract, or
(d) any provision to the contrary in the contract.
Abolition of the Rule in Bain v. Fothergill.
53.- (1) The rule of law restricting damages recoverable for breaches of contract occasioned by defects in title to land (known as the Rule in Bain v. Fothergill) is abolished.
(2) Subsection (1) applies only to contracts made after the commencement of this Chapter.
Order for return of deposit.
54.- Where the court refuses to grant specific performance of a contract for the sale or other disposition of land, or in any action for the return of a deposit, the court may, where it is just and equitable to do so, order the repayment of the whole or any part of any deposit, with or without interest.
Vendor and purchaser summons.
55.- (1) Any party to a contract for the sale or other disposition of land may apply to the court in a summary manner for an order determining a question relating to the contract.
[VPA 1874, s. 9]
(2) On such an application the court may make such order, including an order as to costs, as it thinks fit.
(3) A question in respect of which an application may be made under subsection (1) includes a question relating to any requisition, objection, claim for compensation or other question arising out of or connected with the contract, but does not include a question affecting the existence or validity of the contract.
Chapter 2