Rebate Statements - Update

Date: 24 May 18

Recently there has been considerable media commentary over authority documents produced by REIV.

All authorities, including those of the REIV, are required by law to contain a statement about rebates approved by the Director of Consumer Affairs Victoria.

The Director has prepared, approved and published two versions of the rebate statement, one of which must be used by Estate Agents depending on the circumstances:

A) a short form for use where no rebate will be received,
B) a long form for use when a rebate will be received or is anticipated.

In the production of the authority documents, the REIV relied upon the two rebate statements approved and published by the Director of Consumer Affairs Victoria.

In April, the Supreme Court confirmed a 2017 County Court ruling that to comply with section 49A of the Estate Agents Act, the short form must include a statement regarding rebates, even though the short form can be used only when there is no possibility of a rebate.

When made aware of the issue last year, the REIV advised members and immediately took steps to change its authority documents in line with the County Court’s decision. 

The REIV is not the sole producer of authority documents. All real estate agents in Victoria should ensure that all authority documents they are using of whatever form and from whatever source comply with the law.

The REIV is working with Consumer Affairs Victoria and the Victorian Government for a timely solution to this anomaly.

We will continue to keep members updated on further developments.