The long-awaited Property Law Act 2023 (Qld) came into effect on 1 August 2025, marking a major shift in Queensland’s property laws.

A key change for the construction industry is the reduction of the statutory limitation period for actions on deeds from 12 years down to six years.

Another significant change is the introduction of a comprehensive seller disclosure regime, which requires sellers such as property developers to provide important information about the property to buyers before signing a contract.

Queensland cuts deed limitation period to six years

Deeds in Queensland will no longer provide the extended limitation period that principals and contractors have historically relied upon. The Property Law Act 2023 (Qld) now reduces the limitation period for actions under a deed from 12 years to six years, bringing it into line with ordinary contracts.

For the construction industry, the change narrows the gap between deeds and standard contracts. Its main impact will be in relation to latent defects, which can take years to surface. Deeds were often favoured on large or complex projects for this reason, as they gave principals extra time to bring claims. Going forward, if parties want a longer period to pursue breach of contract claims, they will need to expressly include it in their agreement.

This change effects deeds entered into from 1 August 2025. But there is some uncertainty as to whether the 12-year limitation period for a deed entered into before that date will be preserved if the deed is varied anytime from 1 August 2025.

The reduction of the deed limitation period to six years removes a long-standing safety net in Queensland when deeds are utilised. Parties should review their contracting approach and, where extended protection against latent defects is needed, ensure a longer period is expressly agreed and properly drafted into the contract.

New seller disclosure requirements for property developers

Property developers must now give buyers a seller disclosure statement (form 2) and certain prescribed certificates before signing a contract. This ensures buyers receive essential information about the property upfront and promotes fair dealings.

The disclosure statement must contain accurate, up-to-date information, including the property’s lot and plan, involvement in a community titles scheme or a scheme under the Building Units and Group Titles Act 1980 (BUGTA), and any unregistered or statutory encumbrances. It must also include zoning information, listings on the environmental management or contaminated land register, neighbourhood disputes, proposed transport infrastructure proposals affecting the property, heritage listings, property resumption notices, council and water rates, the presence of a pool and any residential tenancy agreements.

Developers must also provide prescribed certificates such as a title search, copy of the registered plan, a body corporate certificate and copy of the community management statement (if the property is included in a community title or BUGTA scheme), along with notices required under the Queensland Building and Construction Commission Act 1991, Building Act 1975, Planning Act 2016 and Environmental Protection Act 1994. While these documents do not need to be attached to the disclosure statement or sent at the same time, best practice is to annex them to demonstrate compliance.

If a property developer fails to provide a compliant or accurate disclosure statement or prescribed certificate, the buyer can terminate the contract at any time before settlement and claim a full refund, including any accrued interest.

The new disclosure requirements do not apply to proposed lots sold off-the-plan, which remain governed by the existing disclosure regimes under the Land Sales Act 1984 (Qld) and Body Corporate and Community Management Act 1997 (Qld) (BCCMA). However, developers of community title scheme properties must now provide a copy of any building management statement that applies to the scheme land as part of their disclosure requirements under section 213 of the BCCMA.

Other exemptions to the seller disclosure regime include transactions between related buyers and sellers (as defined in the Property Law Act), sales to government bodies or listed corporations, co-owner transfers, contracts triggered by a court order or financial agreement, option agreements where the seller has already provided compliant disclosure documents, sales over $10 million (including GST), and boundary realignments between neighbouring land owners.

While the new seller disclosure regime enhances protection for buyers, property developers will likely face several challenges, including increased costs for preparing disclosure statements, longer negotiation periods prior to contract signing, and greater risk of contract termination if the disclosure documents are inaccurate or non-compliant. To manage these risks, property developers should conduct appropriate due diligence and seek legal advice, particularly if any exemptions apply.

By Holding Redlich Partner Grace Wimberley, Partner Kirsty Smith, Senior Associate Samantha Hill and Graduate Jasmine Matthews

Authors

Grace Wimberley, Partner at Holding Redlich

Kirsty Smith, Partner at Holding Redlich

Samantha Hill, Senior Associate at Holding Redlich

Jasmine Matthews, Graduate, Holding Redlich)