---
title: "Letter of advice to a prospective retirement village resident on the village contract and disclosure statement (NSW)"
url: "https://ailawframework.com/precedents/elder-law-and-powers-of-attorney-guardianship/retirement-village-contract-letter-of-advice"
type: "precedent"
site: "AI Law Framework"
id: "a18-retirement-village-contract-letter-of-advice"
area_id: "A18"
kind: "letter"
ai_level: "yellow"
version: 1
task_ids: ["A18-X20260927-7"]
law_stated_as_at: "2026-10-18"
---

# Letter of advice to a prospective retirement village resident on the village contract and disclosure statement (NSW)

> A letter of advice to a prospective resident on a NSW retirement village contract and disclosure statement: what is being bought, the costs in and out, the 14-day rules, the 7 business day cooling-off, the 90-day…

Canonical page: https://ailawframework.com/precedents/elder-law-and-powers-of-attorney-guardianship/retirement-village-contract-letter-of-advice  
Law stated as at: 2026-10-18

Site index for agents: https://ailawframework.com/llms.txt

A letter of advice to a prospective resident on a NSW retirement village contract and disclosure statement: what is being bought, the costs in and out, the 14-day rules, the 7 business day cooling-off, the 90-day settling-in period and issues to raise.

## Key facts

- Kind: Letter. A letter or email you adapt and send.
- Practice area: [Elder Law & Powers of Attorney / Guardianship](https://ailawframework.com/precedents/elder-law-and-powers-of-attorney-guardianship.md)
- Jurisdictions: New South Wales
- AI level: Yellow. AI can help in set ways. A lawyer checks specific points before use.
- Law stated as at: 2026-10-18
- Status: Maintained. Checked on 2026-10-18 against the 5 authorities it cites, for New South Wales.

## When to use it

Use after reviewing the general inquiry document, disclosure statement and village contract for a NSW retirement village, before the client signs. Send it to the client personally, even if family members are involved, and confirm the client's own instructions. For residential aged care, use the aged care agreement review instead.

## Used for these tasks

- [Review a retirement village contract and disclosure statement and prepare the resident's issues report](https://ailawframework.com/practice/elder-law-and-powers-of-attorney-guardianship.md#A18-X20260927-7)

## How AI may be used

AI may extract the costs, dates and key terms from the disclosure statement and contract into the letter's tables and flag terms to discuss; the lawyer gives the advice, checks every figure against the documents and confirms the client's own instructions.

**AI may:**

- Extract the ingoing contribution, recurrent charges, departure fee formula, refurbishment and capital gain sharing terms into tables, with clause references
- Calculate example departure fees at years 1, 5 and 10 from the contract formula, showing workings
- Compare the disclosure statement with the contract and list differences

**AI must not:**

- Must not advise whether the client should sign or whether the village is suitable
- Must not estimate future sale prices, capital gains or recurrent charge increases
- Must not take instructions from family members in place of the client

**The lawyer checks:**

- Every figure and clause reference checked against the signed disclosure statement and the contract
- Dates for the 14-day periods, cooling-off and settling-in calculated correctly for this client
- The client was seen alone, understands the advice and gives their own instructions
- Effect on pension, aged care costs and estate plan raised, with a referral where needed

## Authorities

- [Retirement Villages Act 1999 (NSW) s 18 (general inquiry document within 14 days; disclosure statement; contract not to be entered into earlier than 14 days after the disclosure statement)](https://legislation.nsw.gov.au/view/whole/html/inforce/current/act-1999-081)
- [Retirement Villages Act 1999 (NSW) ss 26, 27, 28 (contracts in writing; 14 days to examine the contract; no restriction on independent advice)](https://legislation.nsw.gov.au/view/whole/html/inforce/current/act-1999-081)
- [Retirement Villages Act 1999 (NSW) s 32 (cooling-off period of 7 business days; waived if the resident moves in)](https://legislation.nsw.gov.au/view/whole/html/inforce/current/act-1999-081)
- [Retirement Villages Act 1999 (NSW) s 33 (rescission where the disclosure statement was not provided or is materially false or misleading, within 3 months after occupying)](https://legislation.nsw.gov.au/view/whole/html/inforce/current/act-1999-081)
- [Retirement Villages Act 1999 (NSW) ss 44A, 44B (termination during the settling-in period of 90 days; limited liability of the former occupant)](https://legislation.nsw.gov.au/view/whole/html/inforce/current/act-1999-081)

## Full text and drafting notes

The full text and the drafting notes are not part of this public page. Signed-in firm accounts can read them at https://ailawframework.com/precedents/elder-law-and-powers-of-attorney-guardianship/retirement-village-contract-letter-of-advice and through the signed-in MCP connector https://ailawframework.com/mcp/firm.

*Practice guidance for planning and review. Confirm current primary sources and the requirements of the actual matter. This is general information, not legal advice.*