Thursday, June 7, 2012

REIQ Pool safety laws update

Pool safety laws update

Recent machinery of government changes

Under recent machinery of government changes, Building Codes Queensland (BCQ) has become part of the Department of Housing and Public Works (the Department).  BCQ continues to assist the Pool Safety Council (PSC) in its functions including monitoring and enforcing compliance with Queensland’s pool safety laws.

Non-compliance issues – warning to all agents

The Department has advised the REIQ that it is undertaking work to identify trends in non-compliance and is taking action in response.  Members are reminded of the importance of complying with pool safety laws in relation to leasing and selling properties featuring pools.

Leasing

It is an offence for the owner of a non-shared pool to enter into a lease without a pool safety certificate.  The Department has been issuing infringement notices for this offence to pool owners.  In response to infringement notices, many pool owners have claimed they were unaware of their obligations because they were misinformed by their real estate agent.

Under the Building Act 1975, it is a ground for disciplinary action under the Property Agents and Motors Dealers Act 2000 (PAMDA) for a licensee to receive a reward for the performance of any activities leading to a lease of a property with a non-shared pool without a pool safety certificate.

Although the Department does not have jurisdiction to take action directly against PAMDA licensees, evidence of this conduct is being referred to the Office of Fair Trading which has the jurisdiction to take action.

Sales

If there is no pool safety certificate in effect for a pool, a property owner must give a notice of no pool safety certificate (Form 36) to a prospective purchaser before entering into a contract of sale. A copy of the Form 36 must also be provided to the Department before settlement. Failure to do either is an offence.

The Department issues infringement notices against purchases of properties with non-shared pools who fail to obtain a pool safety certificate within 90 days after settlement. It is more difficult to detect a purchaser’s failure to obtain a pool safety certificate where the seller did not provided a copy of the Form 36 to the Department.   PSC staff have commenced analysing independent sales data to identify these cases.  The results confirm a variable rate of failure by sellers to provide a copy of Form 36 to the Department and enforcement action is now being taken against non-compliant purchasers that are identified by this research.

From 1 December 2012, the Department will also commence issuing infringement notices against owners of shared pools (such as pools located on common property within a community titles scheme) who were required to, and failed to, obtain a pool safety certificate.

Best Regards,

Linda & Carlos Debello

LJ Gilland Real Estate Pty Ltd

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