In The Know
18 September 2019
Click the headings below to read more or visit the Property Management page
Drone Safety and Regulation - your feedback needed!
The Ministry of Transport and the Civil Aviation Authority (CAA) are currently reviewing New Zealand’s drone regulatory settings. They are considering potential regulatory options to address current and emerging issues from the use of drones. Your feedback on the below possible regulatory options would be greatly appreciated.
1. Changing who and what the rules apply to
Drones flown in New Zealand are subject to the Civil Aviation Rules, regardless of size or capability. The rules and the level of approval required to fly a drone are differentiated by weight (Rules 101 and Rules 102). The Ministry of Transport and the CAA are considering changes to how drones are categorised, to support a risk-based and proportionate approach.
2. Relaxing Part 101 requirements
This option is about including other rule updates in addition to the proposed changes under point 1 and covers alternatives to the consent provisions, relaxing spotter/observer requirements and reviewing the distance drones can fly from aerodomes.
3. Registration
New Zealand does not have a registration scheme for drones however, this is a potential option.
4. Operator competency
Another consideration is introducing compulsory basic competency testing requirements for Part 101 operators.
5. Remote identification/e-identification
This option refers to technology that sends out drone identification information during a flight, without needing physical access to the drone.
6. Geo-awareness/geo-fencing
The geo-awareness system will use virtual barriers to detect and restrict drones from flying into designated zones. The geo-fencing tool will project high-risk or sensitive areas, such as aerodomes, prisons, as well as other major areas.
7. Import and sales controls
Some stakeholders have recommended that Government introduce controls on the sale and import of drones, as a way of enforcing product standards for drones. Import controls for drones are likely to be costly and impracticable to enforce therefore, it is not deemed a viable option at this stage however, any feedback on how it can be a viable option is welcome.
8. Offences and penalties
An option that the Ministry of Transport and CAA are considering, is introducing low-level fines for less serious drone-related offences, similar to minor traffic or parking offences.
To access the full document, click here.
Please email your feedback on the above options to REINZ Advisory by 20 September 2019.
Scam Warning!
Be aware of organisations purporting to sell leads. Ensure you investigate these organisations thoroughly to ascertain their legitimacy and that they are operating legally.
We have received complaints from members alleging that there are scam lead generating organisations operating at present.
Case Update: Licensee failed to disclose financial interest in property
The Licensee in this case was the shareholder of a company which owned and was selling the property. The Licensee’s partner was the director of the company.
The complainant in this case claimed that the Licensee did not disclose to her that there was a conflict of interest, or that the Licensee and the vendor were partners, prior to her making an offer on the property. She also claimed that she asked the Licensee if she was the developer and the Licensee told her that she was not.
A clause was inserted in the Agreement for Sale and Purchase stating that the purchaser acknowledged that the vendor was associated with the Licensee’s agency. The Licensee argued that her disclosure obligations were in part satisfied as a result of this insertion.
What did the Complaints Assessment Committee (CAC) decide?
Under section 136 of the Real Estate Agents Act 2008 (Act), licensees must disclose in writing any potential financial benefit from a transaction before or at the time that the licensee provides the prospective party with any contractual documents that relate to the transaction. The CAC noted that for a purchaser, this could be when an offer document is provided by a Licensee to them. The CAC, however, were not satisfied that a general clause about “association” in the Agreement was sufficient enough to meet the requirements of section 136.
The CAC stated that a licensee was taking a risk, where he/she did not disclose their potential financial interest in writing before completing an offer document. If the first time a licensee disclosed their potential financial interest was in a completed offer document then, the CAC would expect that the disclosure be explicit and meet a high level of transparent and accountability.
The CAC found that the Licensee failed to make her disclosure clear despite, the clause which she had added to the Agreement. The decision was further supported as the complainant had put a direct question to the Licensee asking whether she was the developer of the property to which the Licensee denied (she was in fact part owner as she was a shareholder of the company).
A finding of unsatisfactory conduct was made.
Tips:
- It is strongly recommended that disclosure is made on a separate form in writing prior to inserting a clause in an Agreement for Sale and Purchase pertaining to the disclosure
- Disclosure needs to be unambiguous and clear.
The above is intended for general information only and does not constitute legal advice and does not replace your agency’s internal policies and guidelines. Always check your agency’s guidelines, policies and information first and seek legal advice if you have any queries.
Verifiable Training
Auckland Verifiable Training - LAST CHANCE!
Wednesday 25 & Thursday 26 September
Registration deadline Thursday 19 September - a $50 per person late fee will apply after this date.
Auctioneering Fresh Starter Training
Monday 7 & Tuesday 8 October
Fun, interactive and engaging 2-day rookie auctioneer training facilitated by Mark Sumich. NV = 7 hours
Book now
Christchurch Workshop
Tuesday 8 October
Earthquake claims, withholding information, misconduct.
Book here.
Auckland C&I Workshop
Wednesday 25 October
Unit Titles Act, disclosure, commission disputes and more.
| Book here
Verifiable Dates for 2019
| Region | Dates | Location | |
|---|---|---|---|
| September | |||
| Auckland 2 | 25 - 26 | Events on Khyber | Book Now |
| October | |||
| Christchurch 2 | 16 - 17 | The Atrium | Book Now |
2019 REINZ Golf Tournament
Monday 18 November
Entry includes green fees, prize table, first drink and after match platters.
Thank you to our sponsors Ingham Prestige Mercedes-Benz and Skills.
This event is open to REINZ Members, partners and clients registrations close on Friday 8th November (unless sold prior). Registration will be open on the day from 10:30am with the Matte Black Restaurant open for Morning Tea, Lunch and Coffee. Shotgun start at 12:00pm.
Book here
For all REINZ Events, click here.
| November | |||
| 2019 REINZ Golf Tournament | 18 November | 12pm - 5pm | St Andrews Golf Course, Hamilton |
REINZ Digital Products
Register for a webinar with one of our digital product experts when you need a refresh, or want to learn how to use one of the following REINZ Digital Products:
REINZ Statistics Portal
Wednesday 18 September, 1.00pm
PropertySmarts - Learn how to create a CMA
Thursday 19 September, 1.00pm
Introducing FlexiSign
Thursday 19 September, 2.00pm
This week on the blog: Diversity is not tokenism
Diversity is not about choosing someone, solely to tick a box and show that you have filled the required quota. It is about ensuring you have equal opportunities, and people of mixed ages, genders, cultures, sexual orientations and abilities on the board and choosing someone because they genuinely fulfill the requirements for skill and experience.
Expert reveals the dos and don'ts of buying a house
While all the budgeting, saving and trekking from open home to open home can be tiring, patience is key when it comes to buying, REINZ Chief Executive, Bindi Norwell said when speaking with Newshub.
Kiwis prepared to pay hundreds of thousands for a room with a view
Bindi Norwell, REINZ Chief Executive said views of water were particularly sought-after.
"As a result sea views tend to command a premium no matter where you are in the country.
Being close to the water is something that is always going to be popular, and if people can't afford the view, then being within a few minutes walking distance to the beach is always going to be a great re-sale opportunity," she said.
Nominations for Regional Directors open
Nominations are sought for the following Regional Director positions on the REINZ Board:
- Region 1 (Northland, Auckland, Coromandel) - the current director is Wendy Alexander, who has made herself available for re-election
- Region 3 (Hawke's Bay, Manawatu/Wanganui, Taranaki, Wellington) - the current director is Mark Coffey, who has made himself available for re-election
-
Region 5 (Otago, Southland, Central Otago Lakes) - the current director is Gail Hudson, who has made herself available for re-election.
Regional Directors will be elected for a two-year period (commencing following the 2019 AGM).
Election of Regional Directors will be held by electronic ballot in accordance with Rules 7.4 and 12.3. The ballot will open on 29 October 2019 and will close at 5pm 11 November 2019. Voting instructions will be provided in due course.
Nominations must be submitted to Lisa Gerrard on the Regional Director Nomination Form by 5pm, Thursday 26 September.
REINZ works in partnership with NetYourJob recruitment to provide maximum industry coverage when you’re looking for real estate staff. NetYourJob can provide REINZ Members with competitive marketing rates for job advertising. Contact NetYourJob on 0800 638 968 to find out more or click here to view new jobs this week.
