29BWhich terms contracts are prohibited?

29B Which terms contracts are prohibited?

(1) A person must not sell, under a terms contract, land that is in an identified folio under the Transfer of Land Act 1958 or is not under the operation of that Act unless—

(a) at the date of the making of the contract, the person has a good safe holding and marketable title to the land; and

(b) the person—

(i) holds an estate in fee simple in the land; or

(ii) is, as mortgagee, entitled to an estate in fee simple in the land; or

(iii) is, as mortgagor, entitled in fee simple to the equity of redemption in the land; or

(iv) is empowered by or under an Act to deal with an estate in fee simple in the land.

(2) A person must not sell, under a terms contract, land that is under the Transfer of Land Act 1958 (other than land in an identified folio under that Act) unless, at the date of the making of the contract, the person is—

(a) the registered proprietor of the land; or

(b) presently entitled to become the registered proprietor of the land; or

(c) empowered by or under an Act to execute a registrable transfer of the land.

S. 29C inserted by No. 6/2008 s. 33.