Vol. 497 No. 1
4 Mr. Hayes asked the Minister for the Environment and Local Government the position in relation to a request by his Department to have the issue of gazumping analysed by the Law Reform Commission; and if he will make a statement on the matter. [24136/98]
In view of the complexity of the legal issues involved in any possible legislative response to the problem of gazumping, and the need to examine the implications fully, I consider that the scope for any possible legislative approach in this area might most appropriately be examined by the Law Reform Commission.
The referral of matters to the Law Reform Commission rests with the Attorney General. Therefore, along with the Minister for Justice, Equality and Law Reform, I recently asked the Attorney General to refer the question of gazumping to the Law Reform Commission for examination of the legal issues involved.
When does the Minister of State expect the report to come back from the Law Reform Commission? Will such a rigid timetable be established in the terms of reference established by the Attorney General and the Departments of Justice, Equality and Law Reform and Environment and Local Government?
The terms of referral to the Law Reform Commission are matters for the Attorney General. The Government's desire that this matter be examined has been outlined to the Attorney General. It would be in everyone's interest to have an early opinion from the commission. However, it has not yet received the formal application from the Attorney General. I expect this will be done in the near future.
Why has it taken more than six weeks for the Minister of State, the Department of Justice, Equality and Law Reform and the Attorney General to progress this matter? He first gave me an assurance in the House on 5 October that such a matter would be progressed. Why has it taken so long for the Minister of State's Department and other Departments to take this matter to the Law Reform Commission? Is it not the case that the Government and the Minister of State are kicking to touch on this during which time no action will be taken and more people will be gazumped?
The Deputy could not be further from the truth. I am concerned about the despicable practice of gazumping which I have condemned. There are only a small number of people who practice gazumping but that is still too many. People should not be left in such a vulnerable position.
I raised this issue with the home builders last May at their annual conference. I stated that I wished to see a voluntary code put into practice as quickly as possible and that the Government would consider legislation. Work has been proceeding apace on the voluntary code by the home builders. I understand they will put the code before their members soon.
The legislative route has been referred——
The Minister of State has answered my question. I would like to ask a supplementary question. He should not hog the time.
The Deputy should allow the Minister of State to finish.
——to the Attorney General for referral to the Law Reform Commission. In the circumstances, the Government has been quite active in pursuing this issue.
As the Minister of State referred to the proposed voluntary code for home builders, how will that code protect people who purchase from builders who are not members of the Irish Home Builders' Association or to those purchasing second-hand homes?
It is a voluntary code which has been put together by members of the Irish Home Builders' Association.
I asked a specific question.
The Deputy should take it easy.
The Minister of State has been taking it too easy.
The intention would be that purchasers would have confidence in such a code and would be inclined to purchase from those who give a price guarantee. That would become known and become the norm in the housing market.
That is not my question.
There is no way that non-members can be forced to comply with a voluntary code introduced by an association. That is why we are looking at the legislative route.
Some months ago the IAVI put forward another legislative proposal, separate from the Fine Gael proposal, involving private treaties. What is the position as regards this proposal? When did the Minister of State last meet the IAVI to discuss its proposal?
I have stated that the issue is being referred to the Law Reform Commission. This is a complex matter concerning conveyancing and land law. We should await the commission's opinion if we are considering legislation.
Has the Minister of State read the IAVI's proposal?
Of course.
What is his view of it?
I have read many suggestions, including the Fine Gael Bill, which was highly impractical and would have caused chaos in the housing market.
The Minister of State is on the run.
It was a ridiculous proposal which sought to give contractual status to the payment of a booking deposit.
The Minister of State is kicking to yet another commission as he cannot make up his own mind.
This was done for some political reason.
We have run out of time for Priority Questions.
