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Legislative Assembly for the ACT: 2003 Week 5 Hansard (6 May) . . Page.. 1569 ..

MR STANHOPE (continuing):

and property managers will be regulated under the act. ACT Office of Fair Trading officers will be given power to serve spot fines on agents who commit offences under the act.

Agents who give financial investment advice are required to give warnings to consumers, when they provide general financial advice as an incidental part of selling real estate. Agents who quote unrealistically high or low estimated prices for real estate will commit an offence. Agency agreements between agents and sellers must be in writing, as a consequence of this legislation. This measure will allow home owners to better understand their rights and obligations under agency agreements.

Agents must now disclose any kickbacks they receive from real estate transactions. A register of licensed principals, registered salespeople and property managers, and details of disciplinary action taken against them, will be maintained by the ACT Office of Fair Trading and will be available for public inspection. The register will, of course, assist consumers in their choice of agent.

The consumer compensation fund will continue to operate to protect consumers in the event of the financial collapse of a licensed real estate, stock and station, or business agent. Consumers of travel agency services will continue to enjoy the financial protection provided by the travel compensation fund. The new Consumer and Trader Tribunal will hear and determine disciplinary matters relating to agents and appeals against licensing and registration decisions.

Consumers will, for the first time, be able to lodge their grievances with agents with the ACT Office of Fair Trading for investigation and, where appropriate, the Commissioner for Fair Trading will refer matters to the tribunal for determination. Empowering the tribunal to deal with consumer complaints against agents on referral by the commissioner acknowledges the significance of property transactions in people's lives. The tribunal will also deal with consumer complaints against travel agents and employment agents.

This bill, Mr Speaker, is the result of extensive industry and consumer consultation. I would like to thank all the people and organisations that contributed to the development of the bill, including key members of the Real Estate Institute of the ACT, the Agents Board, the ACT Office of Fair Trading and ACT consumer groups. I also acknowledge, as Mr Stefaniak has, the interest, assistance and advice which Mr Harold Hird, a former member of the Assembly, has provided in the development of this legislation. I thank all of those for their positive and constructive contributions to government's reform proposals for ACT agents and I thank members for their support of this legislation.

Question resolved in the affirmative.

Leave granted to dispense with the detail stage.

Bill agreed to.

Sitting suspended from 11.45 am to 2.30 pm.

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