THE CORPORATIONS LAW

CHAPTER 1 - INTRODUCTORY

PART 1.2 - INTERPRETATION

Division 7 - Interpretation of other expressions

SECTION 77   INVESTMENT ADVICE BUSINESS  

77(1)  [Meaning of ``investment advice business'']  

A reference to an investment advice business, in relation to a person, is a reference to:

(a)  a business of advising other persons about securities; or

(b)  a business in the course of which the person publishes securities reports.

77(2)  (Omitted by No 110 of 1990, Sch 1 (effective 18 December 1990).)

77(3)  [Purpose of subsections (4)-(9)]  

The remaining provisions of this section apply for the purposes of determining:

(a)  whether or not a person carries on an investment advice business; and

(b)  what constitutes an investment advice business carried on by a person; and

(c)  whether or not a person holds himself, herself, or itself out to be an investment adviser.

77(4)  [Grant of probate, etc]  

If the person is a body corporate authorised by a law of a State or Territory to take in its own name a grant of probate of the will, or a grant of letters of administration of the estate, of a dead person, an act done by the first-mentioned person shall be disregarded.

77(5)  [Solicitors and accountants]  

If the person is a solicitor or accountant in public practice as such, an act that the person does shall be disregarded if it is merely incidental to the practice of his or her profession.

77(6)  [Advice in media]  

The fact that the person advises other persons about securities, or publishes securities reports, in some or all of the following circumstances shall be disregarded:

(a)  in a newspaper or periodical:

(i) of which the person is the proprietor or publisher; and

(ii) that is generally available to the public otherwise than only on subscription;

(b)  in the course of, or by means of, transmissions that:

(i) the person makes by means of an information service; or

(ii) are made by means of an information service that the person owns, operates or makes available;

and are generally available to the public;

(c)  in sound recordings, video recordings, or data recordings, that the person makes generally available to the public in either or both of the following ways:

(i) by supplying copies of them to the public; or

(ii) by causing the sound recordings to be heard by, the video recordings to be seen and heard by, or the contents of the data recordings to be displayed or reproduced for, the public, as the case may be.

77(7)  [Publication for purpose of advice]  

Subsection (6) does not apply in relation to a newspaper or periodical, or transmissions, sound recordings, video recordings or data recordings, as the case may be, whose sole or principal purpose is to advise other persons about securities or to publish securities reports.

77(8)  [Holding oneself out as adviser]  

The fact that the person holds himself, herself or itself out as advising other persons, or publishing securities reports, as mentioned in subsection (6) shall be disregarded.

77(9)  [Employees]  

An act that the person does:

(a)  while employed by, or acting for or by arrangement with, another person;

(b)  as employee or agent of, or otherwise on behalf of, on account of, or for the benefit of, the other person; and

(c)  in connection with an investment advice business carried on by the other person;

shall be disregarded.