South Australian Current Acts South Australian Current Acts6—Abolition of instalment purchase or rental purchase arrangements
(1) A contract for the
sale of land or a business that provides for the payment of part of the
purchase price of the land or business (except a deposit) before the date of
settlement is void.
(2) Money paid under a
contract that is void under subsection (1) may be recovered by action in
any court of competent jurisdiction.
(2a) A contract under
which a person has—
(a) a
right or obligation to purchase land; but
(b) an
obligation to pay rent in respect of a period of occupation of the land of
more than 6 months before the right is exercised or the purchase completed,
is voidable at any time at the option of that person.
(2b) A person will not
be taken to have elected to affirm a contract that is voidable under
subsection (2a) by reason of a payment made under the contract.
(2c) If a person
avoids a contract that is voidable under subsection (2a), the person may,
by action in any court of competent jurisdiction, recover any amount paid
under the contract in excess of what would have been fair market rent for any
period for which the person has occupied the land under the contract.
(3) In this
section—
"deposit" means an amount paid by a purchaser in a lump sum, or in not more
than three instalments, towards the purchase price of land or a business
before the date of settlement;
"rent" includes any amounts payable in respect of a right to occupy land.
(4) This section does
not apply in relation to—
(a) a
contract for the sale of land by the South Australian Housing Trust; and
(b) a
contract for the sale of land by a body specified by regulation.