Why Settling on a Friday Is a Risk – PEXA Outage Confirms What We’ve Always Said

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Published: 22 May 2025

Late last week, Victoria’s conveyancing industry came to a crawl as the PEXA platform — the digital system used to complete settlements — suffered a major system outage. As reported by Australian Conveyancer, transactions were delayed, frustrations ran high, and for many buyers and sellers, plans were thrown into disarray.

We’re not surprised.

In fact, we warned about this precise risk in our article published on 24 April 2025, titled “Why You Should Not Book a Settlement on a Friday”. In that piece, we explained that Friday settlements carry a much higher risk profile due to their proximity to the weekend, limited banking hours, and reduced time to rectify last-minute issues.

The PEXA outage that occurred on Friday 17 May 2025 simply confirmed what we already knew — when things go wrong on a Friday, there is almost no room to recover.

What Went Wrong?

PEXA, the electronic lodgement network used by the vast majority of conveyancers and legal practitioners across Victoria, experienced a prolonged system-wide disruption. According to reports, many transactions could not settle, resulting in delayed ownership transfers, blocked access to properties, storage and removalist costs, and in some cases, loss of insurance coverage due to time-based terms.

The timing couldn’t have been worse. Friday is the most common day for property settlements, and for that reason, the system was under high load. When it failed, it left clients stranded — emotionally and financially.

How We Plan for the Worst

At Victorian Property Settlements, we don’t just rely on one system. While PEXA is our primary lodgement channel — as mandated under the Electronic Conveyancing National Law (Victoria) and integrated with Land Use Victoria — we maintain registration and operational procedures for alternative systems and manual fallback options where applicable.

Our firm has in place:

  • Multiple digital channels for secure electronic signing, not solely relying on PEXA-integrated tools

  • Flexible client engagement strategies, allowing us to shift quickly to Adobe Sign or verified ID methods if required

  • Contingency protocols for rescheduling settlements in coordination with banks, brokers and other practitioners

  • Direct communications with clients and agents, including pre-drafted correspondence for emergency scenarios

We also take the step of educating our clients in advance — strongly recommending that settlement not be booked on a Friday. And now, unfortunately, you can see why.

The Consequences of a Friday Failure

When systems like PEXA go down on a Friday, here’s what typically happens:

  • No weekend recourse: Land Use Victoria, the major banks, and most firms don’t operate over the weekend. You’re stuck until Monday.

  • Access delayed: You don’t get your keys. You don’t get to move in. And you might be paying for storage, accommodation, or penalties.

  • Emotional stress: For families with children, pets, or plans, it becomes a major disruption — and sometimes a legal one.

  • Contractual exposure: If a default occurs, it can trigger penalty interest or breach of contract clauses. Not all contracts allow leeway.

It’s Not Just the System — It’s the Day

It’s easy to blame the technology. But even if PEXA had been working, Friday remains a dangerous day to settle. Even minor issues — a bank delay, a missing document, or a late verification — become unmanageable when there’s no next-day trading.

We once again urge all buyers and sellers to avoid Friday settlements wherever possible. Instead, aim for midweek dates — Tuesday to Thursday — to allow time to fix anything that may go wrong without losing your weekend or risking contractual fallout.

A Final Word: We’re Prepared — But No One’s Immune

Even with the best planning, the most up-to-date systems, and 40 years of combined experience in property law, we are still reliant on external systems. And even though Victorian Property Settlements builds in redundancy and advises its clients wisely, some risks can only be mitigated — not eliminated.

We will continue to plan ahead, advise transparently, and act decisively when issues arise. That’s the benefit of choosing a fully licensed, experienced, and proactive conveyancing firm.

But please — help us help you. Don’t settle on a Friday.

Read more:
👉 Why You Should Not Book a Settlement on a Friday
👉 PEXA Outage Report – Australian Conveyancer

Kind regards,

David Dawn
Licensed Conveyancer
Victorian Property Settlements
Post Office Box 11220
Frankston, Victoria 3199
Email: david@quick32.com
Phone: 03 9783 0111