Document ID: chunk:federal_register_of_legislation:C2023A00076:clause:2_38a:p3
Version: federal_register_of_legislation:C2023A00076
Segment Type: clause
Provision Reference: sch 2 cl 38A (pt 3/4)
Character Range: 279829–282374

maintains the account.
Note: For the account referred to in paragraph (b) of this subsection, see the definition of intermediated financial property in Schedule 1 to this Act and paragraph (h) of the definition of financial property in section 5 of the Payment Systems and Netting Act 1998.
 (7) For the purposes of paragraph (4)(c), financial property is taken to be in the possession or under the control of the secured person mentioned in that paragraph if:
 (a) the financial property is intermediated financial property in relation to an account; and
 (b) the intermediary is not the life company (but may be the secured person or any other person); and
 (c) there is an agreement in force between the intermediary and one or more other persons, one of which is:
 (i) the secured person; or
 (ii) the life company; and
 (d) the agreement has one or more of the following effects:
 (i) the person in whose name the intermediary maintains the account is not able to transfer or otherwise deal with the financial property;
 (ii) the intermediary must not comply with instructions given by the life company in relation to the financial property without seeking the consent of the secured person (or a person who has agreed to act on the instructions of the secured person);
 (iii) the intermediary must comply, or must comply in one or more specified circumstances, with instructions (including instructions to debit the account) given by the secured person in relation to the intermediated financial property without seeking the consent of the life company (or any person who has agreed to act on the instructions of the life company).
Note: For the account referred to in this subsection, see the definition of intermediated financial property in Schedule 1 to this Act and paragraph (h) of the definition of financial property in section 5 of the Payment Systems and Netting Act 1998.
 (8) Subsections (6) and (7) do not limit paragraph (4)(c).
 (9) The fact that the life company retains a right of one or more of the following kinds does not of itself stop paragraph (4)(c) from applying:
 (a) a right to receive and withdraw income in relation to the financial property;
 (b) a right to receive notices in relation to the financial property;
 (c) a right to vote in relation to the financial property;
 (d) a right to substitute other financial property that the parties agree is of equivalent value for the financial property;
 (e) a right to withdraw excess financial property;
 (f) a right to determine the value of financial property.