PLEASE READ THIS AGREEMENT CAREFULLY.

Preamble.

A Guardian Right is the restricted ownership of the appurtenances (fixtures) of a property.

This agreement establishes two shares on an existing property (land and Guardian Right) to be specific in regard to exclusivity, terms, special conditions, responsibilities and expenses.

It also provides occupancy rights, valuation updates, specific financial contributions, dispute resolutions, legal compliance and termination conditions, all of which form a transferable Deed for successive owners.

Specific Shares.

The shares of a property under this agreement are as follows;

• Share A. The Land and Vegetation.
• Share B. The appurtenances (fixtures) known as a ‘Guardian Right”.

Share B. is a ‘restricted’ share, meaning it has restrictions relating to its ownership.

The shares in this Guardian Right Deed Agreement are transferable, meaning that successive owners are bound to the terms and conditions of this agreement.

Share B. restrictions.

Share B. is ‘restricted’ in that it is a depreciating asset which reduces by 10% per annum calculated monthly on the 1st day of each month, and

(This creates a fixed value for the life of the ‘Guardian Right’ to be used on every exchange)

Share B. includes Call Option dates for when Share A. has the right to purchase Share B.

Occupancy.

Share B. has a 99% right of occupancy.

Share A. waives the right to occupy the property, however contracted occupancy on the existing chattels of the property (caravans, cabins, and tiny homes) are allowed.

Property Expenses.

Share A. is responsible for 99% of the land and water rates, taxes, and lien expenses related to the landholding specifically. Excess water is the responsibility of Share B.

Share B. is responsible for 100% of the repairs and maintenance expenses relating to the house, shedding, pool, driveway, and fencing, and any lien relating to the Right.

Fair and Equitable Value and Future Values.

A ‘Guardian Right’ value stems from the CIV (capital improved value) of a rates notice, and can include a valuers valuation to increase the value if required.

The CIV on a rates notice means the appurtenances, the (depreciable fixtures) upon the land.

Once this value is registered at the Guardian Right Registry, the Guardian Right decreases in value by 10% per annum calculated monthly on the 1st day of each month.

This telegraphs a fixed value and sale price for every future exchange.

Title Registration.

Share A. (the land) is registered at the Land Titles Office, however

[The relationship with Share B. is untitled and formed through Deed.]

Share B. (the fixtures) is registered at the Guardian Right Registry.

Deed of Right.

Each time a Guardian Right is exchanged, a new Deed of Right will be issued to the new owner and the previous deed to the same property becomes null and void.

A Deed of Right is also the receipt of the Share B. agreement from the Guardian Right Registry.

Call Option.

Share A. holds Call Options over Share B.

The date of the Call Options are fixed, and the price is fixed using the depreciation schedule.

The Call Option renews itself in 10x10x10 year intervals.

Right of Refusal.

Share A. must offer the property to Share B. prior to listing it on the market.

Share B. has the first Right of Refusal.

Termination of this Agreement.

Share A. may terminate this agreement by purchasing Share B. under Option.

Share B. may terminate this agreement by buying Share A.

Until a Call Option or Fist Right of Refusal is executed, this agreement shall continue.

Vacant Possession.

The Guardian is to provide successive Guardians with ‘vacant possession’. Possessions left at the premises will be deemed as freely given to the new owner.

Existing Chattels.

Any chattel (caravans, cabins, and tiny homes) being occupied on the property prior to the share agreement being executed are the property of Share A.

Details of the occupancy, (pictures and tenancy agreement) must be on record and honoured.

Share B, has no right to refuse this occupancy. (what was in place, stays in place)

Share A. rights and responsibilities

Share A. may sell this property at any time, and provide the ‘Right of First Refusal’ to Share B.

Share A. has the right to execute a Call Option.

If the Call Option is to be executed, the Guardian must be given 3 months’ notice in writing.

If the Call Option is not taken, the Guardian may continue to reside at the property until this agreement is terminated.

In the case of Vacant land, Share A, has the right to refuse the type of dwelling that is to be built.

With existing chattels, if there are separate self-contained living areas on the property occupied by tenants, it is necessary to precisely outline this as the domain of Share A.

Share A. is responsible for ‘chattel’ occupants actions and behaviours at the property, and reserves the right to change occupants with the same terms and conditions as the previous occupants.

Share B. rights, rules and responsibilities.

Share B. cannot remove or relocate fixtures from this site address, and the landholders perpetual 10-year call option to purchase cannot be removed.

The Guardian must reside at the property, and has the right to rent rooms, plant veges, have pets and make additions subject to council regulations.

A Guardian cannot vacate the property and use it as a rental.

A Guardian may not or demolish any fixtures from the property except during repair or through council approved additional works.

Share B. is responsible for the metered excess water use expenses.

Share B. is responsible for the upkeep of the vegetation and trees, and damage relating to falling or protruding limbs from the property in an event.

Should the property be damaged by an act of God, (fire, flood, quake, hail, or accident) and insurance is engaged, repairs will be seen to be taking place.

Share B. is bound by a Call Option, and If the option is not taken, the Guardian may continue to reside at the property until this agreement is terminated by way of a Sale.

If the Call Option is taken, 3 months’ notice must be given in writing by Share A.

The value of Share B at the time of the Call Option being executed shall be determined by its earlier purchase price less 10% per annum depreciation calculated monthly.

Share B. is does not warrant the condition or habitability of the house.

A Guardian will pass the property with Vacant Possession.

Late Call Option dilemma.

The Call to execute the Option must be received 3-months prior to the Option date.

If the Call Option was said not to have been received, and was proven to be sent 7 days prior to the 3-months’ notice cut-off, then the sale to Shareholder A. will proceed.

If no call is made, the Guardian will have his time extended by another 10-years.

Property Finance.

Share A. has the right to a mortgage, separate from a mortgage right over Share B.

Old mortgages over property include the fixtures which now belonging to Share B, so it is the responsibility of the landholder to pay down the mortgage from the sale and inform the lender of the share agreement now in place.

Share B. has the right to opt for a caveat to protect his share.

Share A. requires property protection Insurance against wilful damage by the co-owner.

Party A. shall not be legally responsible for Party B.

Guardian Right Finance.

Although a Guardian Right covers real property under the act, the finance made available shall be personal, based on the value of the use of the property.

Share B. cannot include the landholding belonging to Share A. and to do so is to commit fraud.

To limit risk, financiers are required to use straight-line reducing loans, a fixed term interest rate, a 50-week year, and a 10-year maximum term aligned with market rent and the minimum stay.

Guardian Right financiers should include a provision to enable the Guardian to pass the debt with the property (if required) due to the rest of the terms staying unchanged.

On the sale of Share B. all debts must be settled or transferred.

Property Insurance is required to be purchased separately.

Party B. is not legally responsible for Party A.

Vacant land.

A ‘Guardian Right’ is permitted over vacant land for the purposes of a Guardian to place a habitable building on the site subject to council conditions and this Deed Agreement.

On Vacant land, the Guardian Right shall be sold for $5000.00, and the costs for the building and the approvals shall be borne by the Guardian Right holder.

The cost of the (building, permits and approvals), shall replace the $5000.00 value of the ‘Guardian Right’ with this ‘new cost value’ and the registry will be reset.

The Call Option cannot be changed, so an agreed extension (set at 11-12 years) should be used to give the necessary time to have the home built and certified.

Derelict houses.

A ‘Guardian Right’ is permitted over existing derelict dwellings.

The ‘Guardian Right’ shall be sold for $1000.00, and the cost to repair and renovate shall be borne by the Guardian Right holder.

With derelict dwellings, power, water, and septic are required, and to cover a portion of the rebuild, the registry value will be set at 100,000.00 (100k).

Call Options will be required to be set at 10-years or longer. At 10-years the value will be around 35k which gives the landholder a cheap home, and the guardian cheap rent.

Uninsurable houses.

For houses in flood zones that have become uninhabitable, the cost to make them habitable again will be the cost of the Call Option minimum term of residence.

If there is a rates notice specifying the CIV, then this is used, but otherwise the Guardian Right can be sold for $5000.00, but the registry value will be set at $50,000.00 (50k). A 5-year minimum Call Option term can provide better benefits than insurance.

This cost should be much cheaper than renting depending on the Call Option and provide both owners with a beneficial outcome.

Litigation.

Share A. and Share B. are clearly defined with the paper trail and the Deed of Right to prove the ownership and responsibilities, on a good day.

Should a Guardian be under financial stress before the Guardian Right Deed Agreement ends, the Guardian agrees to sell the Right with vacant possession.

To help Share B. the debt and the value of the property are designed to align, allowing the debt to be passed to the new Guardian if agreed.

Should the Guardian act unlawfully and the property is damaged and not maintained or repaired in a timely fashion (3-months only), then the guardianship can be sold, and a Sherriff can be used to evict the previous owner.

Should the property be damaged by an act of God, (fire, flood, quake, hail, or accident) and insurance is engaged, repairs will be seen to be taking place. No further changes.

Should the Guardian vacate his post and the property is rented, we have a ‘tenancy dispute’.

Tenancy Dispute.

Tenants renting a Guardian Right where a Guardian has vacated, can apply to the Guardian Right Registry to become the new owners.

The Guardian Right Registry is given permission to exchange Guardians and the debt if any.

State and Territory law

With laws changing from state to state, we include a provision to use this agreement as a leasehold, and as such, we must include a remuneration for the 10x10x10 year term which is to be fixed at $1 per annum if asked until the agreement is terminated by condition.

Investment Guidelines.

Investment returns from a Guardian shall be capped at 10%, and to protect borrowers and investors, repayments shall be capped by the market rent and Call Option date of the property.

Investment shall implement Straight-line reducing loan calculations through a 50-week year, and a 500-week maximum term, to align with the depreciating asset and depreciating debt.

Should a Guardian stop payments under stress before the Guardian Right Deed Agreement ends, the Guardian agrees to sell with vacant possession.

Subscribe to keep the registry viable.

Registry members are required to maintain an annual membership contribution of $10 per month plus gst, or $120+gst per annum.

The Guardian Right Registry profits by selling its own prescribed forms, such as; the Set-Up form, the Buy/sell form, the Anonymity form, and the Exit form (the prescribed forms) which are required for legitimate changes to the Guardian Right Registry.

TO COMFIRM THIS AGREEMENT.

I acknowledge the Guardian Right as a restricted property share over the fixtures of the property, with the primary share belonging to the Landholder.

I confirm the Guardian Right's depreciable fixed value, Call Option terms and occupancy.

And I confirm that EmpowerUs Australia Pty Ltd ACN 623886966 reserves the right to change these terms and conditions in line with laws that may change from time to time.

I WARRANT I HAVE READ AND UNDERSTAND THAT THIS AGREEMENT FORMS THE DEED OF PROMISE TO BIND SUCCESSIVE PARTICIPANTS TO ACT APPROPRIATLY, AND I WISH TO PROCEED AS A CLIENT OF EMPOWERUS AUSTRALIA PTY LTD BY ACCEPTING THIS TICK-BOX AGREEMENT IN CONFIRMATION.