Village operator CEOs are being urged to check their care and compliance requirements after the Australian Financial Review revealed on the weekend that the Australian Competition and Consumer Commission (ACCC) is now set to investigate Aveo.
The story by Fairfax journalist Adele Ferguson quoted ACCC chairman Rod Sims saying that they are also looking at a wider regulatory review of the sector, especially three main areas: “misleading conduct, unfair contract terms and unconscionable conduct.”
It’s a warning that regulatory obligations go beyond the Retirement Villages Act, according to Myfanwy Wallwork, Executive Director Regulatory Compliance at LexisNexis.
“For example, village operators must also demonstrate their understanding of and compliance with Federal and State and Territory consumer obligations,” she says. “At the very minimum, village operators are required to act conscionably and must not engage in conduct or make representations that are misleading or deceptive.”
Key to making sure that you meet all your legal requirements is having a comprehensive compliance framework in place. LexisNexis suggest an obligations register that explains both what village operators must do and the steps they must take to plan and ensure continuous compliance.
“There is no such thing as partial compliance,” Myfanwy advises. “Village operators need to understand and comply with all obligations required under Australian law.”
