A key document that must be provided to a prospective resident before signing a residence contract is a copy of the retirement village's residence rules [Retirement Villages Act 2016 (SA) s 22(1)(d)].

Residence rules relate to the use of the retirement village and are intended to ensure all residents enjoy the village [Retirement Villages Regulations 2017 (SA) reg 15(1)(a)].

Residence rules must address at least the following (but can be more comprehensive) [reg 15(1)(b)]:

A residence rule must not be harsh, oppressive, unconscionable or unjust [Retirement Villages Act 2016 (SA) s 41]. A rule of this kind is void. A resident who believes a residence rule is harsh, oppressive, unconscionable or unjust may apply to the South Australian Civil and Administrative Tribunal for an order that the rule is void and of no effect or is to apply in a modified form [s 41].

Retirement village operators are required to consult with residents before making any changes to the residence rules [Retirement Villages Regulations 2017 (SA) Schedule 1 Part 3 cl 11(1)(b)]. The regulations set out the consultation requirements in greater detail [see cl 15]. It is an offence for an operator to change the residence rules without complying with the requirements set out in the regulations [Retirement Villages Act 2016 (SA) s 41(3)].

In addition to the requirement that a retirement village operator provide a copy of the residence rules to a prospective resident before they have signed a residence contract, an operator must also provide a copy to any resident at their request [Retirement Villages Act 2016 (SA) s 42(1)(b)]. If any alterations are made to the residence rules, the operator must provided a copy of the amended rules to each resident [see s 42(2)]. The penalty for an operator failing to comply with these requirements is a fine of up to $2,500 [s 42].

If a resident breaches the residence rules, the operator may terminate their right of occupation [s 44(1)(c)(i)].