Corporations Act 2001
Note: This Chapter applies to a CCIV in a modified form: see Division 4 of Part 8B.7 .
View history note
Hide history noteA financial product, or a financial service (other than a traditional trustee company service, a crowd-funding service or a superannuation trustee service) in relation to a financial product, is not provided by one person to another person as a retail client if: (a) the first person (the licensee ) is a financial services licensee; and (b) the financial product is not a general insurance product, a superannuation product or an RSA; and (c) the financial product or service is not provided for use in connection with a business; and (d) the licensee is satisfied on reasonable grounds that the other person (the client ) has previous experience in using financial services and investing in financial products that allows the client to assess:
(i) the merits of the product or service; and
(ii) the value of the product or service; and
(iii) the risks associated with holding the product; and
(iv) the client ' s own information needs; and
(e) the licensee gives the client before, or at the time when, the product or advice is provided a written statement of the licensee ' s reasons for being satisfied as to those matters; and (f) the client signs a written acknowledgment before, or at the time when, the product or service is provided that:
(v) the adequacy of the information given by the licensee and the product issuer; and
(i) the licensee has not given the client a Product Disclosure Statement; and
(ii) the licensee has not given the client any other document that would be required to be given to the client under this Chapter if the product or service were provided to the client as a retail client; and
(iii) the licensee does not have any other obligation to the client under this Chapter that the licensee would have if the product or service were provided to the client as a retail client.
[ CCH Note: Act No 101 of 2007, Sch 1, Pt 6 [ 238] contained the following application provision (which was effective 28 June 2007):
]Application of items 95 and 97 to 100
The amendments made by items 95 and 97 to 100 of this Schedule apply to financial products and financial services provided on and after the day on which those items commence.
Disclaimer and notice of copyright applicable to materials provided by CCH Australia Limited
CCH Australia Limited ("CCH") believes that all information which it has provided in this site is accurate and reliable, but gives no warranty of accuracy or reliability of such information to the reader or any third party. The information provided by CCH is not legal or professional advice. To the extent permitted by law, no responsibility for damages or loss arising in any way out of or in connection with or incidental to any errors or omissions in any information provided is accepted by CCH or by persons involved in the preparation and provision of the information, whether arising from negligence or otherwise, from the use of or results obtained from information supplied by CCH.
The information provided by CCH includes history notes and other value-added features which are subject to CCH copyright. No CCH material may be copied, reproduced, republished, uploaded, posted, transmitted, or distributed in any way, except that you may download one copy for your personal use only, provided you keep intact all copyright and other proprietary notices. In particular, the reproduction of any part of the information for sale or incorporation in any product intended for sale is prohibited without CCH's prior consent.
