EstatePass
Contracts ConveyancingVendor DisclosureWAHARD

In Western Australia, a vendor fails to disclose that the property is subject to a contaminated sites notice under environmental legislation. The purchaser discovers this after settlement. Which statement best describes the purchaser's legal position?

Correct Answer

C) The purchaser may claim damages from the vendor, or in some cases rescission

Under section 68 of the Contaminated Sites Act 2003 (WA), an owner selling land classified under the Act, or land with a contamination memorial on title, must give the buyer written disclosure in the prescribed form at least 14 days before settlement. A breach is actionable by a buyer who suffers loss, and non-disclosure may also support claims for misrepresentation or misleading conduct. Depending on the facts, the purchaser may recover damages or, in some cases, rescind.

Answer Options
A
No recourse, because the purchaser's rights ended when the transfer was registered
B
A claim limited to the cost of cleaning up the site, with no other loss recoverable
C
The purchaser may claim damages from the vendor, or in some cases rescission
D
The purchaser must keep the property but may seek a fixed statutory price reduction

Why This Is the Correct Answer

Failing to disclose a contaminated site classification breaches a statutory duty, so the purchaser can claim damages, and misrepresentation may in some cases support rescission.

Why the Other Options Are Wrong

Deep Analysis of This Contracts Conveyancing Question

Background Knowledge for Contracts Conveyancing

Memory Technique

Exam Tip for Contracts Conveyancing

Real World Application in Contracts Conveyancing

Common Mistakes to Avoid on Contracts Conveyancing Questions

Related Topics & Key Terms

Key Terms:

contaminated sites noticemisrepresentationrescissionenvironmental disclosurematerial facts
Was this explanation helpful?

More Contracts Conveyancing Questions

People Also Study

Practice More AU Questions

Access 1,100+ Australian real estate practice questions and ace your Certificate IV.

Browse All AU Questions