• Justice Woodward ruled DMF clause in Lifestyle Communities contracts was void due to lack of disclosure
• Lifestyle Communities intends to appeal the decision and apply for a stay of the orders
• Lifestyle Communities will amend new homeowner contracts to comply with disclosure requirements

Lifestyle Communities (ASX: LIC) has provided an update on the proceedings before the Victorian Civil and Administrative Tribunal (VCAT). Justice Woodward ruled that the Residential Tenancies Act 1997 (Vic) does not prohibit a DMF, but found the DMF clause in Lifestyle Communities' contracts was void due to the lack of disclosure of a precise amount. Lifestyle Communities intends to appeal the decision and apply for a stay of the orders until the appeal is heard. In the interim, the company will amend its new homeowner contracts to comply with the disclosure requirements articulated by Justice Woodward. The decision does not trigger a breach of Lifestyle Communities' lending agreement covenants. Lifestyle Communities also provided a trading update for the quarter ended 30 June 2025, reporting net sales of 48, consistent with the previous quarter. The company noted the sustained sales performance in a seasonally lower period and reiterated its belief in the long-term outlook for the business.

Lifestyle Communities expects trading in its shares to recommence from the open of trading on 9 July 2025 and plans to release its full year results for FY25 on 21 August 2025.