Is there any Government legislation in place to protect residents rights in retirement villages, for example in the event of the Village suffering financial difficulties?
In Victoria in 1986 the Retirement Villages Act was proclaimed after consultation with the Retirement Village Industry and other associated community organisations. You may view a copy of the Act at the Village Office or you may obtain a copy from the Government Printer. Your solicitor will be conversant with the Act and will be able to advise you. Amongst the issues that are addressed by the Act are the financial security of Residents in a Retirement Village under the various forms of tenure including License Agreements. The Act provides that the Residents’ equity has first priority, similar to a first mortgage, and that the owner must disclose any liabilities that exist on a document called a Retirement Village Notice. This Notice must be included in the Occupancy Agreement. These liabilities, if they exist, must take second priority behind the Resident’s rights. For your comfort there are no financial encumbrances on the Village Glen Notice. The Retirement Village Act also determine
