Yes it is legal, but there is an absurbly low speed restriction. 70 or 80 KPH come to mind maybe even lower.
ADDIT: You would be better to go down the "A" frame route. A lot of hoops to jump through but when there done you can flat tow to your hearts content. See: http://www.rta.nsw.gov.au/registrati...g_nov_2007.pdf
Addit 2:Oops - you're in Vic, sorry. They have a similar system down there but I'm not fully familiar with it.



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