Telstra Corporation and Other Legislation Amendment Act 2021 (140 of 2021)

Schedule 1   Amendments commencing on the day after Royal Assent

Part 2   Transitional

81   Transitional - variation of contracts, arrangements and understandings

If:

(a) a contract, arrangement or understanding (the relevant contract, arrangement or understanding ) is covered by a subsection of section 577BA of the Telecommunications Act 1997; and

(b) before the commencement of Schedule 2 to this Act, a demerged Telstra company or NBN Co:

(i) enters into a variation of the relevant contract, arrangement or understanding; or

(ii) engages in negotiations, or arrives at an understanding, in relation to a proposed variation of the relevant contract, arrangement or understanding; and

(c) the purpose of the variation or proposed variation is to ensure that the relevant contract, arrangement or understanding has effect as if:

(i) a demerged Telstra company were substituted for Telstra as a party to the relevant contract, arrangement or understanding; and

(ii) obligations imposed on Telstra by the relevant contract, arrangement or understanding were imposed instead on the demerged Telstra company; and

(d) the variation or proposed variation is subject to a condition precedent, namely, any of the property of Telstra being transferred to and vesting in Telstra Limited by virtue of an order of the Federal Court made in accordance with section 413 of the Corporations Act 2001;

then:

(e) each of the following:

(i) the entering into of the variation;

(ii) the engaging in the negotiations;

(iii) arriving at the understanding first mentioned in subparagraph (b)(ii);

is authorised for the purposes of subsection 51(1) of the Competition and Consumer Act 2010; and

(f) conduct engaged in by:

(i) a demerged Telstra company; or

(ii) NBN Co; or

(iii) a body corporate that is a related body corporate (within the meaning of the Corporations Act 2001) of a demerged Telstra company; or

(iv) a body corporate that is a related body corporate (within the meaning of the Corporations Act 2001) of an NBN Co;

in order to give effect to the variation is authorised for the purposes of subsection 51(1) of the Competition and Consumer Act 2010.