07 3555 6333How do the 2023 Changes to the Queensland Property Law Act Affect You?
The 2023 Queensland Property Law Act changes affect anyone buying, selling, leasing or managing property in Queensland. Key updates include mandatory seller disclosure requirements, new tenant liability rules, exceptions to contract deadlines, and shorter time limits for legal action on deeds. This article walks through each change and what it means for you.
What Is the Queensland Property Law Act 2023?
The Property Law Act 2023 is Queensland's updated framework governing property rights, transactions, and obligations between buyers, sellers, landlords and tenants. It replaces the Property Law Act 1974 and came into effect following more than 200 recommendations from the Commercial and Property Law Research Centre at QUT. The new legislation modernises how property law is applied in Queensland, reflecting current commercial practices and consolidating several related Acts.
Let’s cover some of the key changes the new Bill introduced and learn what they mean for you.
Seller disclosure requirements for freehold land
The 2023 legislation includes a requirement that sellers provide disclosure to a buyer regarding the property for sale. These changes obligate sellers to provide certain information to the buyer of their property. The new requirement applies to the sale of all freehold land. This includes apartments, and if it isn’t done correctly, the buyer has certain rights to terminate the deal.
The information required in the disclosure statement is a prescribed form and includes the following information:
- Title searches
- Registered survey plan
- For lots in a community title scheme:
- Body corporate information certificate
- Community management statement
- By-laws not included in CMS
- QCAT tree and fence orders
- Pool compliance certificates or notice of no pool safety certificates
- EPA notices
- QBCC notices
- Current rates and water notice.
Changes to tenant liability and lease transfer rights
According to the 2023 Bill, any tenant who transfers their lease to a new tenant will no longer be responsible once that new tenant transfers the lease again. This means the original tenant won’t be liable for any issues caused by the subsequent new tenant. However, the original tenant is still accountable for any issues caused by the first new tenant, unless the lease agreement or the law states otherwise.
Contract terms cannot override the lease, and any lease provision that states otherwise will be invalid. Due to this, landlords carefully need to consider agreements and security provided by a potential new tenant. These new changes to the Bill make the rules for commercial leases similar to those of retail shop leases.
Another important inclusion in the Bill is this. Tenants may now apply to the courts to recover damages where a landlord’s consent to a lease deal (including an assignment) was “unreasonably withheld”.
Exceptions to contract deadlines
The 2023 Bill also introduced changes to contracts of sale. For instance, under the new provisions, time frames or deadlines written in a contract will no longer be crucial in certain situations defined as “adverse events”. These include where someone cannot complete a property settlement due to the following reasons:
- Natural disasters
- Public health emergencies (such as COVID-19)
- Requirements to comply with a lawful direction or order given by a government entity
- An act of terrorism or civil commotion
- An explosion or sudden impact of an object (for example, an aircraft or object from space)
However, once a party that couldn't previously meet the deadline gives notice, time frames will become valid again. They must give notice as soon as they can, and they can't cause any unnecessary delays.
Contingency plans for e-conveyancing system outages
Under the new Bill, there are now provisions regarding electronic conveyancing (eConveyancing). This includes a rule about what to do if computer systems are not working on the day of settlement (such as the one in the REIQ contract of sale).
Shorter time limits for legal action on deeds in Queensland
In Queensland, the time limit for commencing deed-based legal action dropped from 12 years to 6 years under the new Bill. Therefore, Queensland residents now have a shorter window of opportunity to file a lawsuit than those in other states, where deeds may still be filed for up to 12 years.
Who Do These Changes Apply To?
The 2023 Property Law Act changes apply to anyone involved in a Queensland property transaction. This includes:
- Buyers — who now have new rights if a seller fails to provide a compliant disclosure statement
- Sellers — who are obligated to provide prescribed disclosure documents before a sale completes
- Landlords — who need to reconsider how they assess incoming tenants and lease assignments
- Tenants — who have new protections around lease transfers and landlord consent
- Property investors and developers — who should review how the shorter timeframes for deed-based legal action affect existing arrangements
If you're unsure how these changes apply to your situation, speaking with a property lawyer before entering any transaction is worthwhile.
Ready to Talk to a Queensland Property Lawyer?
Whether you're buying, selling or leasing property in Queensland, the 2023 Property Law Act changes may affect your transaction.
Speak with our team before you sign anything.
Frequently Asked Questions About the Queensland Property Law Act 2023
Generally, contracts entered into before the commencement of the new Act are governed by the old legislation. However, some provisions may apply to ongoing arrangements such as existing leases. If you have an active contract or lease, it's worth confirming which Act applies to your situation.