Statutory and Regulatory Framework
Statutory and Regulatory Framework tests the legislation that authorises, constrains and disciplines valuation work in New Zealand. It includes registration under the Valuers Act 1948, complaints and discipline, rating valuation law, compulsory acquisition and the statutes that create or regulate interests in land.
Registration and discipline
Only a person registered under the Valuers Act 1948 may hold out as a registered valuer. The Valuers Registration Board administers registration and handles complaints about conduct or competence. A complaint can lead to inquiry and disciplinary outcomes, including censure, conditions, suspension or cancellation. Separately, NZIV membership carries its own ethical obligations. Courts and tribunals may also refer conduct issues.
Key statutes
- Rating Valuations Act 1998 and Local Government (Rating) Act 2002: rating valuations, rolls, objections and rates.
- Public Works Act 1981: acquisition and compensation for public works.
- Resource Management Act 1991: planning and consent effects on value.
- Property Law Act 2007 and Land Transfer Act 2017: leases, covenants, easements and title.
- Unit Titles Act 2010 and Te Ture Whenua Maori Act 1993: unit title and Māori land interests.
- Natural Hazards Insurance Act 2023: residential natural hazard cover.
Worked example
A lender asks for a registered valuation, but the report is to be signed by an unregistered analyst. The firm cannot present it as a registered valuation. Either a registered valuer must take responsibility, inspect and sign, or the instruction is declined.
Traps
- Claiming registration when it has lapsed or is held by another person.
- Ignoring a statutory valuation basis, such as compensation under the Public Works Act.
- Treating a rating valuation as market value.
- Missing an objection deadline.