Superannuation Legislation Amendment (Service Providers and Other Governance Measures) Act 2013 (61 of 2013)

Schedule 1   Amendments

Part 1   Amendments

Superannuation Industry (Supervision) Act 1993

66   Subsection 55(4)

Repeal the subsection, substitute:

(4) Unless an action under subsection (3) is of a kind dealt with in subsections (4A) to (4D), it may be begun at any time within 6 years after the day on which the cause of action arose.

Leave of court required where directors' covenants contravened

(4A) If:

(a) the person who is alleged to have contravened subsection (1) is or was a director of a corporate trustee of a registrable superannuation entity; and

(b) it is alleged that the contravention is of a covenant that is contained, or taken to be contained, in the governing rules of the entity, and is:

(i) a covenant of the kind mentioned in subsection 52A(2); or

(ii) a covenant prescribed under section 54A that relates to the conduct of the director of a corporate trustee of a registrable superannuation entity;

an action under subsection (3) may be brought only with the leave of the court.

(4B) A person may, within 6 years after the day on which the cause of action arose, seek the leave of the court to bring such an action.

(4C) In deciding whether to grant an application for leave to bring such an action, the court must take into account whether:

(a) the applicant is acting in good faith; and

(b) there is a serious question to be tried.

(4D) The court may, in granting leave to bring such an action, specify a period within which the action may be brought.