The Conveyancing and Real Property Act Amendment Bill 2025 (NSW) passed Parliament on Friday, 8 August.
This legislation (once it comes into effect) corrects a “gap” that was made abundantly apparent in the NSW Supreme Court’s decision in BP7 Pty Ltd v Gavancorp Pty Ltd [2021] NSWSC 265. In this decision, the Court held that the vendor disclosure regime and cooling-off period exemptions only applied to call options and not put options, which allowed the purchaser in that case to unexpectedly be entitled to rescind the contract immediately after exercise of the put option. The issue only affected residential properties but it is good to see this problem being addressed.
