Document ID: chunk:federal_register_of_legislation:F2021C00174:reg:3:p6
Version: federal_register_of_legislation:F2021C00174
Segment Type: reg
Provision Reference: reg 3 (pt 6/11)
Character Range: 33497–36572

or an associate referred to in subsection (2) a right to withdraw an application made by the applicant and a right to return the interest in the scheme (if applicable), if the applicant notifies the licensee by post, email or facsimile or in any manner described in the Product Disclosure Statement for interests in the scheme that:
                  (a) (cooling-off rights) the applicant does not wish to proceed with the issue or sale of the interest, and the notification is made within the period (cooling-off period) commencing on the date on which the applicant signs the acknowledgement of receipt of the cooling-off statement and ending:
                     (i) if the licensee is a member of the Australian Timeshare & Holiday Ownership Council Limited ACN 065 260 095—no less than 7 days later; or
                     (ii) otherwise—no less than 14 days later; or
                  (b) (subject to finance rights) the applicant:
                     (i) failed to obtain finance; or
                     (ii) decided not to proceed with an application for finance; or
                     (iii) rejected an offer of finance.
           Effect of the exercise of cooling-off rights and subject to finance rights by an applicant
              (11) A licensee that is the responsible entity of a registered time-sharing scheme must make adequate arrangements to ensure that where an applicant exercises cooling-off rights during the cooling-off period or exercises subject to finance rights:
                  (a) subject to paragraph (c), any contract for the acquisition of the interest in the time-sharing scheme is terminated without financial penalty to the applicant; and
                  (b) subject to paragraph (c), if the interest in the time-sharing scheme is constituted by a legal relationship between the applicant and the licensee—that relationship is terminated without financial penalty to the applicant; and
                  (c) if the applicant exercises rights by giving a notification referred to in subsection (10), the applicant is entitled to be refunded by the licensee:
                      (i) all monies paid by the applicant to the licensee in relation to the issue or sale of the interest in the scheme; and
                      (ii) the amount of any finance application fee paid to a related finance provider, less the reasonable value of the services supplied by the related finance provider up to the date the application was withdrawn or the interest was returned.
              (12) A licensee that is the responsible entity of a registered time-sharing scheme must ensure the cooling-off rights and subject to finance rights are disclosed prominently in any Product Disclosure Statement for the offer of interests in the scheme.
              (13) A licensee that is the responsible entity of a registered time-sharing scheme must ensure:
                  (a) any Product Disclosure Statement for interests in the scheme and any website that is maintained by or on behalf of the responsible entity for the scheme, explains: