Queensland Appeals Court held purchaser could not rely on section 27 of Land Sales Act to avoid contract Queensland Appeals Court held purchaser could not rely on section 27 of Land Sales Act to avoid contract

Queensland Appeals Court held purchaser could not rely on section 27 of Land Sales Act to avoid contract

20 June 2013 | General
Meridien AB Pty Ltd & Anor v Jackson & Ors [2013] QCA 121
The Queensland Court of Appeal (Appeal Court) held that a purchaser could not rely on section 27 of the Land Sales Act 1984 (Qld) (s 27) which provides that a purchaser may avoid a contract if the vendor does not provide a registrable instrument of transfer within 3.5 years of the contract date, where the purchaser refuses to settle in breach of its contractual obligations and actively prevents a vendor from settling, to avoid the contract and escape liability.

The Appeal Court also held that a statute should not be interpreted to allow a person to benefit from their own wrong or infringe common law rights.

Section 27 was amended in February 2012 preventing a purchaser from relying on the provision in circumstances where the vendors failure to provide the transfer is due to a purchaser’s default.

For further information please contact Freeda Stevenson or Belinda Curtin.