The disclosure statement is a requirement of the Act. As of 1 May 2007 all operators must issue compliant disclosure statements to intending residents before these residents can sign occupation right agreements.
A disclosure statement will also need to be lodged with the Registrar of Retirement Villages as part of the registration process. All existing residents should have received a compliant disclosure statement by 1 May 2008.
Details of what should be included in the disclosure statement are outlined in Schedule 2 and schedule 5 of the Retirement Villages Act, and the Retirement Villages (General) Regulations. A disclosure statement template designed by the Ministry is available, free of charge, to help operators to develop these complex documents. The disclosure statement template for Retirement Village operators is a guide only and its use is voluntary. Operators may wish to develop their own disclosure statements without using this template.
It is important to make sure that the disclosure statement is compliant with the legislation. Occupation right agreements may be void if a resident entered into the agreement without receiving a disclosure statement that complies with the Act.