Parliament to consider law changes to protect park home residents

  • Greater contract certainty and transparency for long-stay park residents
  • Changes tackle issues of disclosure, costs, contracts and terminations

The McGowan Government will this week introduce a Bill into State Parliament to provide greater protections for long-stay tenants at residential parks in Western Australia.

The Residential Parks (Long-stay Tenants) Bill 2018 will ensure fairer dealings and security of contract between park operators and their long-stay tenants. Key reforms include:

  • Limiting the termination of fixed-term agreements on the sale of a park or if the owner's financier takes possession of the park;
  • No longer allowing 'without grounds' terminations of long-stay agreements, instead setting out specific grounds that will provide greater certainty in relation to termination rights;
  • Improved disclosure requirements on contractual issues such as exit fees;
  • Clearer rules for park operators, home owners and prospective tenants in relation to the sale of homes;
  • Clarification of the park operator's ability to enforce compliance with park rules in a fair, reasonable and equitable manner; and
  • Standard lease clauses will no longer be able to be varied and the introduction of standard form agreements for new arrangements.

These amendments strike a fair balance between protecting the rights of tenants and ensuring the viability of the residential parks sector is maintained.

Additionally, the reforms give the State Administrative Tribunal extra powers and remedies to deal with disputes arising under long-stay agreements.

As noted by Commerce and Industrial Relations Minister Bill Johnston:

"Being a home owner, but only a tenant of the land puts people in a vulnerable position.

"We hope these changes will give residents greater security, particularly when the park is sold or an operator becomes insolvent.

"The changes will help address certainty of contract, costs of park living, sale of a home, exit fees and park liaison committees."

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