Australian traffic laws are complex and are spread across several regulations and are administered differently by state and territory. Because of this, they can be difficult to navigate and keep up with.
See the NSW Government Website for the most up to date version of the Road Rules 2014 and other legislation.
What is the demerit point system and how does it work?
The demerit system is a nationwide scheme wherein each licensed driver begins with 0 points on their record and receives demerit points when they commit certain offences.
Depending on the licence, drivers have different demerit point limits that must be reached or exceeded for their licence to either be suspended (or refused to be renewed) by Transport NSW. These points remain on your record for 3 years from the day of the offence.
Drivers with a Learner or Provisional (P1) licence may receive a 3-month suspension (or more)*, or Transport NSW will refuse to renew the licence if they reach or exceed 4 points.
Provisional (P2) licence drivers may receive this same penalty* if they reach or exceed 7 points. The same applies to unrestricted drivers who have a 13 demerit point limit and professional licence drivers with a limit of 14.
*It should be noted that this suspension period can increase depending on the number of points that were accumulated
What options are there if I incur the maximum amount of demerit points**
Good behaviour bond
If you are a driver with an unrestricted driving licence and incur 13 demerit points (or 14 on a professional licence), you may be eligible for a good behaviour bond under section 36 of the Road Transport Act 2013 (NSW).
You may be eligible where;
• The suspension letter explicitly mentions you can apply for the bond
• You apply online at least 2 business days before the listed suspension date (you will not be eligible if you apply after the suspension has commenced)
• You are a driver with an unrestricted licence (Learner and Provisional licence holders are not eligible for this particular bond)**
**Learner and Provisional licence drivers have a right to appeal their suspension if it is lodged within 28 days of receiving the notice.
The bond commences on the day the suspension was scheduled to begin and ends 1 year after this date. To comply with the bond conditions, the driver must not incur 2 or more demerit points. You may also be asked to complete a Driver Knowledge Test by Transport NSW as part of the conditions of this licence.
The demerit points counting towards the licence suspension are inactive during this time and the balance will return to zero again after the period provided no demerit points were incurred. While demerit points can be inactive, old offences remain on your driving record and can be considered by courts in the sentencing of future offences.
If you incurred 1 demerit point during this time, this will remain on your record for 3 years from the date of the offence committed. Any demerit points that did not count towards suspension will remain active on your record.
Please note that a breach of this good behaviour licence will double the time of the initial suspension period.
How can I apply for this bond?
You can apply online via the Service NSW website, make sure to apply at least 2 business days before the listed date of suspension.
Recent demerit point initiative
From 17 January 2023 to 16 January 2025, drivers with a clean driving record within this time will have a demerit point removed from their licence. There is no need for to apply for this initiative to be eligible.
This article is not a substitute for proper legal advice and is only to be read as a guide providing general information. For more information, contact Brady and Associates Lawyers on (02) 9545 3273.
