Conveyancers (Fees) Regulations 2018

Fee units. The fundamental mechanism is the fee unit. Each prescribed fee is stated as a number of fee units (e.g. 60.22 fee units for a natural person’s annual licence). The actual dollar amount payable is not in these regulations; it is calculated by multiplying the number of fee units by the value of a fee unit as fixed under section 5 of the Monetary Units Act 2004. The explanatory details note that for the 2017‑18 financial year the fee‑unit value was $14.22, and for 2018‑19 it rose to $14.45. The value is set annually, gazetted, and published in a newspaper before 1 June for the following financial year. This means the dollar cost of every fee in the schedule changes without further legislative amendment. The rounded sum (to the nearest 10 cents) is the actual debt.

Transitional versus ongoing regime. The regulations distinguish a transitional period (26 May 2018 to 30 November 2018) from the ongoing period (from 1 December 2018). During the transitional period, fees were higher in some cases and lower in others, and were not always differentiated by entity type. For example, in the transitional period the new licence application fee was a flat 34 fee units for all applicants, whereas the ongoing regime charges companies 30.19 and natural persons 17.88. Likewise the annual licence fee was a flat 82 units during the transitional period; afterwards companies pay 60.94 and individuals 60.22. This suggests the transitional numbers were placeholder rates set without entity‑specific analysis, or that the regulator needed time to implement a differential system.

Entity differentiation. A deliberate distinction is drawn between “an applicant that is a company” and “an applicant that is a natural person”. Company applicants generally pay higher fees for new licences (application 30.19 vs 17.88; licence 60.94 vs 60.22) and annual licence fees. The same is not true for permission applications under sections 29 and 30, where the fee is 108.71 units for any applicant; but the company‑specific permission fee under section 31 is 152.32 units, notably higher. This differentiation may reflect a perception that companies pose greater regulatory risk or require more administrative work, but the regulations themselves offer no rationale.

Types of fees. There are twelve distinct fee items: new licence application and licence (two components within regulation 5), three permission‑application fees (regulations 6‑8), annual licence fee (regulation 9), extension of time (10), late payment/lodgement (11), exemption from manager appointment (12), employment of disqualified persons (13), and certified copy (14). The annual licence fee is a recurring cost; all others are payable on application or event.

Sunset and review. The regulations automatically expire after ten years unless re‑made. This provides a legislated review point, though the regulations themselves do not contain a review clause. The sunset operates under the Subordinate Legislation Act 1994.

Conveyancers. Any individual or company holding or applying for a conveyancer’s licence in Victoria is directly affected. They must pay the prescribed fees when applying for a new licence, renewing annually, seeking permission after a disqualifying event, or making certain applications. The fees are a direct cost of entry and ongoing operation.

Prospective licensees with adverse history. Persons who have been involved in a claim under the Act (section 29), have a criminal record (section 30), or are companies needing permission to hold a licence (section 31) must pay a substantial fee (108.71 or 152.32 fee units) simply to have their application considered. This creates a fixed cost that may deter marginal applicants, particularly those with limited resources.

Existing licensees. Annual licence fees (60.22 or 60.94 fee units) are a recurring compliance cost. Licensees who pay late or lodge documents late incur an additional fee of 8.03 fee units. Licensees who need an extension of time (under section 36) pay 9.07 fee units. Those seeking an exemption from appointing a manager (section 52) pay 18.45 fee units. Those wishing to employ a disqualified person (section 56) pay 18.45 fee units for the application.

Consumers (indirect). Conveyancers will treat these fees as a cost of doing business and generally pass them on to clients through service fees. The annual licence fee, for example, is a recurring overhead that feeds into the price of conveyancing services. Higher entry and compliance costs may reduce the number of conveyancers, potentially reducing competition and raising prices for consumers, though the quantum of the fees is relatively small compared to typical conveyancing charges.

Third parties requesting register information. Any person (not necessarily a licensee) who wants a certified copy of, or extract from, the Register must pay 8.37 fee units (or $5 for the transitional period). This affects researchers, journalists, other professionals, and members of the public who need official verification of a conveyancer’s status.

State revenue. The fees flow to the Consolidated Fund or a relevant statutory fund. The indexation of fee units provides automatic revenue growth in line with inflation or as determined by the Treasurer, without requiring Parliament to pass amending regulations. This reduces political transaction costs for the government but also removes a layer of scrutiny.

Regulatory body. The entity responsible for administering the Act (likely the Business Licensing Authority or equivalent) must calculate, bill, and collect the fees. The fee schedule provides clear and simple numbers, but the staff must monitor fee‑unit value changes and update their systems each financial year.

Duty to pay. The central duty imposed by these regulations is the obligation to pay the prescribed fee at the time specified by the Act. For a new licence, the duty arises under section 13(2) of the Act. For an annual licence, under section 35(1). For each permission or application, the Act requires the fee to accompany the application. Failure to pay the correct amount can result in the application being invalid or the licence not being granted.

Right to apply for permission. Persons involved in a claim, with a criminal record, or companies otherwise disqualified have the right to apply for permission to hold or continue to hold a licence, but only upon payment of the prescribed fee. This right is conditional on payment. The same applies to licensees seeking exemption from appointing a manager or employment of a disqualified person.

Right to extension of time. A licensee may apply for an extension of time under section 36, and the fee for that application is prescribed at 9.07 fee units. This right is not free; the fee must be paid for the extension to be considered.

Right to obtain certified copies. Any person may request a certified copy of or extract from the Register under section 178, and the fee is prescribed at 8.37 fee units (transitional: $5). This right supports transparency and accountability.

No substantive discretion. The regulations themselves confer no discretion; they merely set the amount. Discretion to grant or refuse the underlying application remains in the Act.

Protection from arbitrary fees. Because the fees are prescribed in the regulations (which are subject to disallowance and sunset), the amounts are not set arbitrarily by the administering body on a case‑by‑case basis. Entities know the fee in advance.

Right to know the fee unit value. The Monetary Units Act 2004 requires the Treasurer to publish the fee‑unit value before each financial year. This gives licensees and applicants notice of the actual dollar cost at any given time, although the regulations do not themselves require individual notification.

This instrument contains no penalties. The Conveyancers (Fees) Regulations 2018 do not create any offence or penalty. They are purely fee‑prescribing. The penalties for non‑compliance with the fee obligations are found in the Conveyancers Act 2006 itself, which is not reproduced here. Typically, failure to pay the annual licence fee on time may result in late payment fees (prescribed here), and continued non‑payment may lead to licence suspension or cancellation. The regulations do set the additional fee for late payment or lodgement at 8.03 fee units (1 fee unit in the transitional period). This is a surcharge rather than a penalty per se, but it increases the cost of non‑compliance.

Late payment fee as a deterrent. The late fee of 8.03 fee units is modest compared to the annual licence fee (around 60 fee units). A 13% additional charge may be insufficient to strongly incentivise timely payment, especially if licensees are liquidity‑constrained. The real deterrent comes from the Act’s power to suspend or refuse renewal.

Enforcement actions are not in these regulations. The regulations do not specify how fees are collected, what happens on default, or who enforces them. Those are matters for the Act and the administering body’s processes. The regulations only say “for the purposes of section X of the Act, the prescribed fee is Y”. Enforcement is by operation of the Act.

No criminal penalties. There are no penalty units, fines, or imprisonment terms in these regulations. They are purely civil fee‑setting.

Indexation as a silent penalty. Because fee units are indexed, the real dollar amount of every fee increases over time without parliamentary amendment. This can be seen as a form of automatic fee increase that avoids the political cost of explicit rises. It places the burden of adjustment on licensees, who must budget for rising fees.

Potential for error. If a licensee miscalculates the dollar amount (e.g., using an outdated fee‑unit value), they may underpay. The regulations do not provide a grace period or waiver. The late payment fee of 8.03 units may apply even if the error was accidental.

Record of enforcement. The regulations contain no compliance or enforcement history; they are a static fee schedule.

Conveyancers Act 2006 (the Act). These regulations are made under section 188 of the Act and prescribe fees for specific sections of the Act. They fill gaps left by the Act’s references to “prescribed fee”. Without them, the Act’s fee‑based provisions would be inoperative. If the regulations are invalid or sunset, the fee amounts cease to exist, and the Act would need to be amended or new regulations made.

Monetary Units Act 2004. This is the critical cross‑reference. The regulations use “fee units” as defined in that Act. The Monetary Units Act governs how the value of a fee unit is determined, published, and applied. Changes to that Act (e.g., a new method of indexation) would automatically change the dollar amount of all fees in these regulations. The regulations do not set dollar amounts; they rely entirely on the Monetary Units Act.

Subordinate Legislation Act 1994. Section 5 of that Act provides that these regulations will sunset ten years after making (22 May 2028) unless they are re‑made. This sunset clause is noted in the endnotes. It imposes a built‑in review mechanism, but also creates uncertainty for licensees as the re‑making process is not guaranteed.

Interpretation of Legislation Act 1984. The endnotes of the regulations reference sections of the Interpretation of Legislation Act regarding the treatment of headings, examples, notes, punctuation, and provision numbers. These are standard interpretive rules. They do not affect the substance of the fees.

Other conveyancer regulations. The Conveyancers Act 2006 may have other regulations (e.g., conduct, trust accounts, insurance). These fees regulations interact with them by imposing a financial cost on complying with those other regimes. For example, the fee for exemption from appointing a manager (regulation 12) relates to the manager appointment requirements in the Act.

Receipts legislation. The fees collected likely go to the Consolidated Fund or a specific fund under the Act. The regulations do not specify; that is left to the Act and other financial statutes.

Privy to no contract. The fee is a statutory debt, not a contractual obligation. The relationship between the state and the licensee is governed by the Act, not by agreement.

No interaction with Commonwealth laws. These regulations are state subordinate legislation and do not interact directly with Commonwealth laws such as the Competition and Consumer Act or Corporations Act, though conveyancers may also be subject to those laws.

No amendments. The version of the regulations as published (Version 001) states unequivocally: “There are no amendments made to the Conveyancers (Fees) Regulations 2018 by statutory rules, subordinate instruments and Acts.” The table of amendments confirms no entries. The amendments not in operation table is also empty. Therefore, the fee schedule has remained unchanged since the regulations came into force on 26 May 2018. The only changes to the actual dollar amounts payable are those caused by annual adjustments to the fee‑unit value under the Monetary Units Act 2004, which do not require amendment of these regulations themselves. This is an important distinction: the number of fee units per item is fixed, but the dollar cost varies.

Stability of the fee unit numbers. Because the numbers of fee units are not amended, licensees can rely on the same unit numbers from year to year. This provides certainty for budgeting in terms of fee units, though not in dollar terms. The absence of amendment also means the transitional period provisions (26 May 2018 to 30 Nov 2018) have expired; the ongoing numbers are all that now apply.

Future amendment possible. The regulations can be amended by subsequent statutory rules under section 188 of the Act. If the government decides to increase or restructure fees, it would need to revoke or amend these regulations. The sunset date of 2028 is the outer limit; any amendment before then would supersede the current version.

No history of litigation over fees. The regulations themselves have not been the subject of amendment or challenge; they are a routine statutory rule.

The source does not record any litigation history. No cases are cited, and no reference is made to any court or tribunal proceedings involving the Conveyancers (Fees) Regulations 2018. This is unsurprising. The regulations are purely mechanical; they set fixed numbers of fee units. Challenges to subordinate legislation of this kind are rare. A litigant would have to argue that the regulations are ultra vires the Conveyancers Act 2006 (e.g., that the fee is not rationally related to the cost of administration, or that the regulation‑making power was exceeded), or that the process of making the regulations was procedurally defective (e.g., failure to consult or comply with the Subordinate Legislation Act 1994). No such challenge appears on the public record as of the date of this version.

Potential grounds for challenge. Conceivably, a licensee could argue that the fee differentials (company vs natural person) are discriminatory or not authorised by the Act, but the Act itself provides for differential fees (section 13(2) refers to “prescribed fees” without restriction, and section 188 authorises regulations generally). The Monetary Units Act 2004 allows rounding and indexation, which could be challenged if the method were improperly applied. But again, no litigation is recorded.

Administrative reviews. While the regulations themselves are not litigated, the decisions to refuse a licence, permission, or exemption based on non‑payment of the fee could be subject to review by the Victorian Civil and Administrative Tribunal (VCAT) under the Act. The prescribed fee amount would be a factual issue in such a review. The regulations would be applied, not challenged.

Absence of case law. Searching for cases under the Conveyancers Act 2006 concerning fees would likely yield few results. The fees are small; the cost of litigating a $200‑$2,000 fee (depending on fee‑unit value) usually outweighs the benefit. Therefore, the regulations have not been tested in court.

Fee‑unit indexation reduces predictability. Although the number of fee units is fixed, the actual dollar amount changes every financial year based on the Treasurer’s determination. This means the fee can increase even when the government makes no legislative change. Licensees must monitor the annual gazette notice to know how much to pay. A failure to use the correct fee‑unit value can result in underpayment and the late payment surcharge.

Transitional period expired - but check dates. Anyone relying on the transitional fee amounts (e.g., for an application lodged in late 2018) must have accounted for the 30 November 2018 cutoff. Since that date passed years ago, the ongoing regime now applies universally. However, if a licence application was made during the transitional period and the fee was calculated incorrectly, the applicant may have been over‑ or undercharged. The regulations are silent on how to correct such errors.

Company fees are higher. Companies pay significantly more than natural persons for new licence applications (30.19 vs 17.88 fee units) and annual licences (60.94 vs 60.22). They also pay a much higher permission fee under regulation 8 (152.32 vs 108.71 for the other permission types). This creates a financial incentive to operate as a sole trader rather than a company, all else being equal. For small conveyancing practices, the higher company fees may influence choice of business structure.

Late payment fee is not the only consequence. The regulation prescribes an additional 8.03 fee units for late payment or lodgement. But the Act itself may impose more serious consequences, such as licence suspension. The regulations do not exclude additional penalties.

Exemption from manager appointment fee. The fee of 18.45 fee units for exemption under section 52 may be small compared to the cost of appointing a manager. But it is a fixed cost that must be paid regardless of the merits of the exemption. If the application is refused, the fee is not refunded (the regulations are silent; the Act would govern).

Employment of disqualified persons fee. Similarly, regulation 13 imposes a fee of 18.45 fee units to apply for permission to employ a disqualified person. This is a modest sum, but it adds to the administrative burden.

Certified copy fee is in fee units except transitional. After 30 November 2018, the fee is 8.37 fee units. The transitional period had a flat $5, which was actually higher or lower depending on the fee‑unit value at the time. Users expecting a fixed dollar amount must convert using the current fee‑unit value.

Sunset creates uncertainty. The regulations expire on 22 May 2028. If they are not re‑made, the fee schedule disappears, and the Act would have no prescribed fees. This could disrupt licensing until new regulations are made. Licensees relying on the current fee levels for long‑term budgeting should consider that a new regime may have different amounts or structures.

No refunds or waivers. The regulations do not provide for any waiver, reduction, or refund of fees. The Act may or may not; the source does not indicate any such power.

Rounded to nearest 10 cents. Under the Monetary Units Act, the calculated dollar amount may be rounded to the nearest 10 cents. This can create minor discrepancies if a licensee calculates the fee unit value precisely.

Step 1: Identify the applicable fee. Determine which regulation and which section of the Act applies to your situation. The regulations cover: new licence applications (regulation 5), annual licence renewal (regulation 9), applications for permission due to involvement in a claim (regulation 6), criminal record (regulation 7), or company status (regulation 8), extension of time (regulation 10), late payment/lodgement (regulation 11), exemption from manager appointment (regulation 12), employment of disqualified persons (regulation 13), and certified copies (regulation 14). Use the correct regulation number.

Step 2: Determine the entity type. If you are a natural person applying for a new licence, use the natural person fee (17.88 fee units for application, 60.22 for licence, and 60.22 annual fee). If you are a company, use the company rates (30.19 application, 60.94 licence, 60.94 annual). For permission applications, note that regulations 6 and 7 do not differentiate by entity, but regulation 8 (company permission) is higher (152.32). For other fees, no distinction applies.

Step 3: Obtain the current fee‑unit value. The dollar amount is not in the regulations. You must look up the fee‑unit value for the relevant financial year. This value is published in the Government Gazette and a Victorian newspaper before 1 June of the preceding financial year under section 5 of the Monetary Units Act 2004. Alternatively, use the value published by the Department of Treasury and Finance or the administering body.

Step 4: Calculate the dollar amount. Multiply the number of fee units by the current fee‑unit value. Round the result to the nearest 10 cents if required by the Monetary Units Act (section 7). For example, for the annual licence fee for a natural person: 60.22 × (fee unit value). If the fee‑unit value is $15.00, the fee is $903.30 (60.22 × 15 = 903.3, no rounding needed if exact). Keep a record of the calculation.

Step 5: Pay the fee at the time required by the Act. For a new licence, pay the application fee and licence fee when applying. For annual licence, pay by the due date. For permission applications, pay with the application. For late payment, the fee is additional to the original amount and is triggered by lateness. Pay both promptly.

Step 6: Lodge documents correctly. Ensure any application, form, or notification is lodged with the correct authority (e.g., the Business Licensing Authority). The regulations do not specify the method of payment; check the administering body’s website for electronic or postal payment options.

Step 7: Monitor fee‑unit value changes each year. The value changes on 1 July each year. If you are paying an annual licence fee or any other fee after that date, use the new value. Do not rely on last year’s amount. Set a reminder to check the gazette in June.

Step 8: Keep records. Retain evidence of fee calculation and payment, including the gazette notice or official publication of the fee‑unit value. This can be useful if a dispute arises about underpayment.

Step 9: Plan for sunset. The regulations expire on 22 May 2028. Keep informed about whether new regulations are made or the existing ones are extended. If you hold a licence after that date, your annual fee obligation may become uncertain. The administering body will likely provide guidance.

Step 10: Seek advice if uncertain. The fee schedule is straightforward, but if you have a complex situation (e.g., a partnership, multiple licences, or a past criminal record), consult the Act or a legal practitioner to ensure you apply the correct regulation and pay the right amount.