ADIS Code - OP
An option to purchase is an agreement between parties that gives one party (the purchaser) the right to take up the option to purchase property, goods and/or land from the other party (the vendor) at any time within a specified period. The option to purchase requires the owner of the property etc to sell if and when the other party takes up the option to purchase. An option to purchase is not a conveyance or deed of purchase.
An option of first refusal gives the owner discretionary powers to sell providing the other party is given the first opportunity of accepting or refusing the offer.
If the option to purchase affects Torrens Title land, the lodging party must be aware of the effect of registration in the General Register compared to a caveat recorded under the Real Property Act 1900.
Lodgment requirements
Stamp duty - Required if dated before 1.7.1998. If not marked, Registration insisted upon is prohibited.
Not required if dated on or after 1.7.1998.
Registration copy - Required. If unacceptable, Registration insisted upon is prohibited.
Statement of Title Particulars form - Not required.
NOS form - Not required.
Index Particulars form (completion)
(A) Lodging Party - Must be completed as for a Real Property Act dealing.
(B) Instrument - Option to Purchase
(C) Locality - The situation of the land if affected.
Link Conveyance - For the Old System land if affected.
Principal Deed - Not required.
(D) Indexing - The vendor and the purchaser.
(E) Certification - Required.
Document requirements
Date: must be dated with the date of execution. If not dated advise the lodging party. If a date is not furnished, indicate Registration insisted upon and include the reason.
Name: the full names (initials are acceptable) of the vendor an dthe purchaser are required. Advise the lodging party of any discrepancies in names.
Locality: required if land is affected. The situation of the land.
Land Description: required if land is affected. Determine if the affected land is Old System or other (see IPF). Where Old System land is affected it must be described by reference to:
- a metes and bounds description
- another registered instrument
- a plan attached
- a Government Gazette notice or
- a lot or parcel in a subdivision.
Link Conveyance: required if Old System land is affected. The last registered conveyance or acknowledgment that evidences ownership prior to Book 4000. Whole or part must be established.
Principal Deed: if registered, the number of the affected document as stated in the indemnity must be identical to the number stated on the IPF.
Execution: by the vendor. A power of attorney must be registered. The purchaser does not have to sign.
Attestation: required. Must be witnessed by a person of 18 years of age or older who is not a party to the document.
IPF: must be completed.
Staff processing information
An option of first refusal must be entered under the General Frame, ie code "G". See Withdrawal or termination of an option to purchase.
Noting Required where the option to purchase affects part of the land, an interest/share, includes a plan, or Torrens Title land.
CA Not required.
Indexing
Locality: required if land is affected. The situation of the land.
Link Conveyance: required if Old System land is affected. The last conveyance or acknowledgment prior to Book 4000. Indicate whole "W" or part "P".
Principal Deed: nil.
Noting: "Affecting [description of the land]".
If Old System land is affected and:
- an interest, state: "interest in" (or Noting Code: "I")
- a share, state: "[fraction] share"
- part of the land, state: "[affected land description]"
- the land description relies on an attached plan, state: "see attached plan" (or Noting Code: "PL").
V: the vendor, deceased estates or trusts, and any variations thereof.
P: the purchaser, deceased estates or trusts, and any variations thereof.