New South Wales Consolidated Acts

PROPERTY AND STOCK AGENTS ACT 2002 - SECT 173

173 Claims against Compensation Fund

(1) The Compensation Fund is held, and is to be applied, for the purpose of compensating persons who suffer pecuniary loss because of a failure to account.

(2) A person who claims to have suffered a pecuniary loss because of a failure to account may make a claim against the Compensation Fund, but only if the claim is made in writing to the Secretary within--

(a) a period of 12 months after the person has become aware of the failure to account, or

(b) a period of 2 years after the date of the failure to account,

whichever period ends first.

(3) However, a claim caused by a failure of a licensee (or an employee or agent of a licensee) to lodge a rental bond with the Rental Bond Board may also be made at any time within one year after the termination of the tenancy agreement.

(4) A licensee does not have a claim against the Compensation Fund in respect of a pecuniary loss suffered in connection with the licensee's business as a licensee because of a failure to account.

(5) Subject to this section, the Secretary may receive and allow, in whole or in part, any claim against the Compensation Fund at any time after the relevant failure to account arose.

(6) The Secretary may disallow any claim, in whole or in part, in appropriate cases. In particular the Secretary may disallow a claim to the extent that pecuniary loss was suffered as a result of a failure to mitigate loss or was occasioned by unreasonable delay in making a claim.