Hey 

Thanks for the comments guys,

Yea the spa was listed as a chattel on the first page. 

Under special conditions #4 :

"Working order and approvals: The seller warrants that all electrical, gas and plumbing fixtures, including all swimming pool equipment, reticulation and any dishwasher will be included in the sale and shall be in good working order at settlement. The seller warrants any extensions or additions including patio/pergola/sails, swimming pools and or spas have local council approvals unless otherwise stated."

As there was no fence around the pool the seller has a written conditions of:

"Buyer is aware that the spa is non compliant and take responsibility for it as is."

This was included for fence rather than working status as explained by the agent. The agent is backing us up in this regard by saying that that condition was to avoid section 7 which states that swimming pools and spas are installed and conform to the safety regulations. 

With the joy of learning through experience we probably should have written that section 7 does not apply. 

Anyway our settlement agent has been quite helpful on the issue and I am working with the agent to get an idea on getting the spa into working condition.

I guess it all comes down to the interpretation of the written statement.  

         "Buyer is aware that the spa is non compliant and take responsibility for it as is."

On one side there is the "take responsibility for it as is" indicating that it is how it is. However the sentence is in reference to "Buyer is aware that the spa is non compliant". 

If it said "and take responsibility for it condition as is" I would quite happily admit defeat….. mind you 1) I wouldn't have signed if it said that and 2) I would have offered slightly less….

Learning experience I guess.