Bushfire and flood risk advice to home buyers a must for lawyers
Mandatory climate reporting has been described by ASIC Chair Joe Longo as ‘the biggest change to corporate reporting in a generation’.
LAWYERS carrying out conveyancing face a raft of new rules on the way they advise clients on climate risks.
NSW Law Society President Jennifer Ball said the additional duties came as a result of changing climate related regulation.
A mandatory climate reporting regime introduced into the Commonwealth Parliament in March has been described by ASIC Chair Joe Longo as ‘the biggest change to corporate reporting in a generation’.
New sections cover the Sustainable Finance Roadmap, Capacity Investment Scheme Program, vehicle efficiency standards, Future Made in Australia Reforms, and the Guarantee of Origin Scheme.
Most clients, and nearly all areas of legal practice, could be affected, according to Ms Ball.
“A new section on all real property transactions could affect the many solicitors who undertake conveyancing work and the home buyers or sellers whom they advise,” Ms Ball said.
“Climate related issues involved in real property transactions can include advising on bushfire or flood risk and the affordability, or even availability, of insurance, which could affect the ability to obtain mortgage finance.”
The new reporting regime will eventually apply to almost all enterprises with two of the following three criteria – having more than 100 employees, $25 million in assets, or $50 million in annual revenue.
Australian Conveyancer flagged the incoming guidelines in 2024 here
