Document ID: chunk:federal_register_of_legislation:F2012L02223:body:0:p7
Version: federal_register_of_legislation:F2012L02223
Segment Type: other
Provision Reference: 
Character Range: 17504–20396

Legislative Instruments (registration date).

    36.         An RSE licensee must ensure that, when entering into an outsourcing arrangement covered by this Prudential Standard and from the day after the registration date, it complies with paragraphs 20 to 28 inclusive.

    37.         Where an RSE licensee has entered into an outsourcing arrangement covered by this Prudential Standard prior to the registration date, the RSE licensee must, for each arrangement:

       (a)          assess the provisions of the arrangement against paragraphs 20 to 28 inclusive;

       (b)          identify whether it is satisfied as to the matters in paragraphs 20 to 28 inclusive;

       (c)          where the RSE licensee is not satisfied as to the matters in paragraphs 20 to 28 inclusive, identify the anticipated end date of the arrangement;

       (d)          where the anticipated end date of the arrangement is on or after 1 January 2014, take all reasonable steps to adjust the terms of the arrangement in order to ensure that the RSE licensee complies with paragraphs 20 to 28 inclusive;

       (e)          where, as a result of the reasonable steps taken under paragraph 37(d), the RSE licensee determines that, if it were to renegotiate the terms of the arrangement, it would not be acting in the best interests of  beneficiaries, demonstrate to APRA why it considers the arrangement should continue; and

       (f)           report to APRA before 1 July 2013 the extent of any non-compliance with paragraphs 20 to 28 inclusive and the anticipated end date of the arrangement.

Adjustments and exclusions
    38.         APRA may, by notice in writing to an RSE licensee, adjust or exclude a specific prudential requirement in this Prudential Standard in relation to that RSE licensee.[15]

    [1]  For the purposes of this Prudential Standard, 'RSE licensee' has the meaning given in section 10(1) of the SIS Act.
    [2]  For the purposes of this Prudential Standard, a reference to 'a group' is a reference to a group comprising the RSE licensee and all connected entities and all related bodies corporate of the RSE licensee, 'connected entity' has the meaning given in section 10(1) of the SIS Act and 'related body corporate' has the meaning given in section 50 of the Corporations Act 2001.
    [3]  For the purposes of this Prudential Standard, a reference to 'the Board' is a reference to the Board of directors or group of individual trustees of an RSE licensee and 'group of individual trustees' has the meaning given in section 10(1) of the SIS Act.
    [4]  'Service provider' is a reference to the entity providing the outsourced activities to the RSE licensee.
    [5]  For the purposes of this Prudential Standard, an 'RSE licensee's business operations' includes all activities as an RSE licensee (including the activities of each RSE of which it is