Commonwealth Consolidated Acts

CORPORATIONS ACT 2001 - SECT 1021C

Strict liability offence

  (1)   A person (the providing entity ) commits an offence if:

  (a)   the providing entity:

  (i)   is required by a provision of this Part to give another person a Product Disclosure Statement or a Supplementary Product Disclosure Statement (the required disclosure document or statement ); or

  (ii)   is required by paragraph   1012G(3)(a) to orally communicate information (the required disclosure document or statement ) to another person; and

  (b)   the providing entity does not:

  (i)   if subparagraph   (a)(i) applies--give (in accordance with section   1015C) the other person anything purporting to be the required disclosure document or statement by the time they are required to do so; or

  (ii)   if subparagraph   (a)(ii) applies--orally communicate to the other person anything purporting to be the information required by paragraph   1012G(3)(a) by the time they are required to do so.

Note:   A defendant bears an evidential burden in relation to the matters in sections   1012D, 1012DAA, 1012DA and 1012E.

  (2)   An offence based on subsection   (1) is an offence of strict liability.

Note:   For strict liability , see section   6.1 of the Criminal Code .

Ordinary offence

  (3)   A person (the providing entity ) commits an offence if:

  (a)   the providing entity:

  (i)   is required by a provision of this Part to give another person a Product Disclosure Statement or a Supplementary Product Disclosure Statement (the required disclosure document or statement ); or

  (ii)   is required by paragraph   1012G(3)(a) to orally communicate information (the required disclosure document or statement ) to another person; and

  (b)   the providing entity does not:

  (i)   if subparagraph   (a)(i) applies--give (in accordance with section   1015C) the other person anything purporting to be the required disclosure document or statement by the time they are required to do so; or

  (ii)   if subparagraph   (a)(ii) applies--orally communicate to the other person anything purporting to be the information required by paragraph   1012G(3)(a) by the time they are required to do so.

Note:   A defendant bears an evidential burden in relation to the matters in sections   1012D, 1012DAA, 1012DA and 1012E.

Defence for authorised representative

  (4)   In any proceedings against an authorised representative of a financial services licensee for an offence based on subsection   (1) or (3), it is a defence if:

  (a)   the licensee had provided the representative with information or instructions about the giving or communication of disclosure documents or statements; and

  (b)   the representative's failure to give or communicate the required disclosure document or statement occurred because the representative was acting in reliance on that information or those instructions; and

  (c)   the representative's reliance on that information or those instructions was reasonable.

Note:   A defendant bears an evidential burden in relation to the matters in subsection   (4). See subsection   13.3(3) of the Criminal Code .

Circumstances in which a person is taken not to contravene this section

  (5)   If:

  (a)   a person does not give another person a Product Disclosure Statement for a financial product because of section   1012DAA or 1012DA; and

  (b)   a notice was given under subsection   1012DAA(2) or 1012DA(5); and

  (c)   the notice purported to comply with subsection   1012DAA(7) or 1012DA(6) but did not actually comply with that subsection;

the person is taken not to contravene this section.