Document ID: chunk:federal_register_of_legislation:C2005C00498:clause:1_1016c
Version: federal_register_of_legislation:C2005C00498
Segment Type: clause
Provision Reference: sch 1 cl 1016C
Character Range: 583999–584916

1016C  Minimum subscription condition must be fulfilled before issue or sale

  If a Product Disclosure Statement for a financial product states that a financial product to which the Statement relates will not be issued or sold unless:
 (a) applications for a minimum number of financial products of that kind are received; or
 (b) a minimum amount is raised;
the responsible person must not issue or sell a financial product of that kind if that condition has not been satisfied. For the purpose of working out whether the condition has been satisfied, a person who has agreed to take a financial product as underwriter is taken to have applied for that product.

Note 1: Statements in a Supplementary Product Disclosure Statement are taken to be contained in the Product Disclosure Statement it supplements (see section 1014D).

Note 2: Failure to comply with this section is an offence (see subsection 1311(1)).