Document ID: chunk:federal_register_of_legislation:C2018A00010:clause:1_43
Version: federal_register_of_legislation:C2018A00010
Segment Type: clause
Provision Reference: sch 1 cl 43
Character Range: 30733–32231

43  Subsections 11CD(1), (1A) and (2)
Repeal the subsections, substitute:
 (1) This section applies if a body corporate is party to a contract, whether the proper law of the contract is:
 (a) Australian law (including the law of a State or Territory); or
 (b) law of a foreign country (including the law of part of a foreign country).
 (1A) None of the matters mentioned in subsection (1B) allows the contract, or a party to the contract (other than the body corporate), to do any of the following:
 (a) deny any obligations under the contract;
 (b) accelerate any debt under the contract;
 (c) close out any transaction relating to the contract;
 (d) enforce any security under the contract.
This subsection has effect subject to subsections (2) and (3) of this section and section 31B.
 (1B) The matters are as follows:
 (a) the body corporate being given a direction by APRA under Subdivision A or B or section 29;
 (b) if the body corporate is a member of a relevant group of bodies corporate—another member of the group being given a direction by APRA under Subdivision A or B or section 29.
 (2) If the body corporate is prevented from fulfilling its obligations under the contract because of a direction under Subdivision A, other than a direction under paragraph 11CA(2)(m), or because of a direction under section 29, the other party or parties to the contract are, subject to any orders made under subsection (3), relieved from obligations owed to the body corporate under the contract.