A review has been conducted of the Retirement Villages Act 1986 (Vic) (Retirement Villages Act) based on community feedback that the current legislation does not provide adequate protection for retirement village residents.  The new laws offer greater safeguards and regulation of many aspects of retirement villages and residence contracts for retirement villages.  The changes are extensive, however we have detailed below some of the significant changes.

The Victorian Supreme Court’s decision in Beecham Motors Pty Ltd v General Motors Holden Australia [2025] VSC 125 highlights the importance of precise contractual drafting. Beecham Motors, a Holden dealership, sued GM Holden after General Motors announced the Holden brand’s exit from Australia, disrupting their contract.

This recent decision emphasises the need for clear, precise contract terms rather relying on good faith to give effect to uncertain terms. 

Foreign purchasers living within Australia must be aware of important requirements to fulfill a section 69AJ exemption under the Duties Act 2000 (Vic). The case of Sim v Commissioner of State Revenue [2025] VCAT 349 highlights how all requirements of section 69AJ must be met to receive an exemption to the foreign purchaser additional duty.

The Victorian Government has introduced a new 50% penalty tax for cases of recklessness under state tax laws, as part of the 2025–26 State Budget measures. This penalty applies where a taxpayer or their advisor is found to have acted recklessly, causing a tax shortfall or failing to meet notification requirements.

Previously, penalties ranged from 25% (negligence) to 75% (intentional disregard). There are concerns that this new penalty could be unfairly applied in complex cases, especially involving trusts or foreign interests, where rules are often misunderstood.

The Aged Care Restrictive Practices Substitute Decision-maker Act 2024 (Vic) (the Act) came into effect on 1 July 2025. The Act will only apply to Victorian residents.

When considering asset protection, gift, loan and mortgage arrangements are a key strategy, particularly in the context of protecting assets against creditor or insolvency claims as well as parents providing financial assistance to adult children. The effectiveness of the strategy relies upon ensuring that that agreement is correctly documented and implemented.  

Harwood Andrews Dispute Resolution and Litigation team is delighted to have been identified by clients and peers for expertise and abilities for Victoria in the 2025 Doyles Guide. Doyles Guide is a highly regarded independent annual peer review of the leading corporate law firms and lawyers in Victoria.

Losing an original trust deed creates issues. Replacing the deed may trigger tax implication, deed of ratification poses challenges and seeking court advice is costly and complex. Robust systems are crucial.

The recent decision of Malcolm v Commissioner of State Revenue [2025] VCAT 218 has impacted the State Revenue Office’s interpretation of section 38(2) of the Land Tax Act 2005 (Vic).

The recent Supreme Court decision of Sec New Line Pty Ltd & Anor v Muffin Break Pty Ltd has provided interesting insight into franchisor obligations, specifically whether there is a requirement to inform franchisees of important facts relating to their lease agreements.

The decision focused on two main questions – whether a franchisor is required to inform a franchisee about important changes to their lease agreement, and does reinstating a property’s condition require de-fitting?