Consumer Protection Law - Case Studies for Review

For the purpose of this assessment, you and the team from Ferngully Realty Ltd are
attending a workshop to complete your required Verifiable Continuing Education.
The topic is addressing consumer protection law and there are seven case studies

you will be reviewing as part of the workshop agenda.
For each scenario, you will be required to answer each of the following questions:
a. What, if anything, has been done wrong by the salesperson? (write one to two
sentences for each scenario)
b. What legislation (if any) has been breached? (Identify the section as

required). If appropriate, how could a customer claim a remedy? Note, more
than one Act may apply in some situations.
c. Has the Real Estate Agents Act (Professional Conduct and Client Care) Rules

2012 (the Code) been breached? If so, state the rule(s) that apply.
d. What organisations would deal with such an issue, and why?

Task 1: Consumer Protection Law – Case Studies for Review
1. Laura Scahill was excited to view a property in her sought-after
neighbourhood but when she arrived at the viewing, the first thing she noticed

was the driveway access to a large school adjacent to the property.
Considering there was no mention of the school in either the text or photos on
the Agency’s website, Laura expressed her disappointment to the salesperson
for wasting her time. After realising the photos had been photoshopped to

remove the school signage and buildings, Laura followed up with a formal
complaint.

2. Mrs Abernathy is an elderly customer purchasing an apartment in a unit title
complex. She has limited savings and told the salesperson that she relies

mostly on her retirement pension to support her living costs. During
negotiations she was encouraged to increase her offer with the salesperson
explaining that she would benefit from not having any on-going maintenance
costs to attend to. She was not advised about the Body Corporate Fees. Not

long after moving in, Mrs Abernathy was invoiced for her first month's body
corporate fees. She was shocked and concerned as she had not considered
these costs in her ongoing budget.