Document ID: chunk:federal_register_of_legislation:C2004A04501:schedule:2:p18
Version: federal_register_of_legislation:C2004A04501
Segment Type: schedule
Provision Reference: sch 2 (pt 18/22)
Character Range: 480061–483009

and

   (d)     the transferor; and

   (e)     the transferee; and

     (f)      if a member organisation acted as the transferee's agent in the transfer—that member organisation; and

   (g)     the securities clearing house;

against any loss or damage arising from the transfer not having been effected by the first-mentioned member organisation.

  "(2) If:

    (a)     a member organisation, or each of the partners in a partnership that is a member organisation, is taken by section 1109E to have warranted, in relation to a proper SCH transfer of quoted securities or quoted rights, that the transferor was legally entitled or authorised to transfer the securities or rights; and

    (b)     the transferor was not legally entitled or authorised to transfer the securities or rights;

the member organisation, or, if it is a partnership, each of the partners in the member organisation, is liable to indemnify:

  (c)     the issuing body in relation to the securities or rights; and

  (d)     the transferee; and

    (e)     if a member organisation acted as the transferee's agent in the transfer—that member organisation; and

    (f)      the securities clearing house;

against any loss or damage arising from the transferor not having been legally entitled or authorised to transfer the securities or rights.

  "(3) If:

    (a)     a member organisation, or each of the partners in a partnership that is a member organisation, is taken by section 1109E to have warranted, in relation to a proper SCH transfer of quoted securities or quoted rights, that the member organisation was authorised by the transferor to effect the transfer; and

    (b)     the member organisation was not authorised by the transferor to effect the transfer;

the member organisation or, if it is a partnership, each of the partners in the member organisation, is liable to indemnify:

  (c) the issuing body in relation to the securities or rights; and

  (d)     the transferor; and

  (e)     the transferee; and

  (f)      if a member organisation acted as the transferee's agent in the transfer—that member organisation; and

  (g)     the securities clearing house;

against any loss or damage arising from the first-mentioned member organisation not having been authorised by the transferor to effect the transfer.

"(4) The effect of section 1109B is to be disregarded in determining, for the purposes of this section, whether a person or partnership:

     (a)     was legally entitled or authorised to transfer quoted securities or quoted rights; or

     (b)     was authorised by another person or partnership to effect a transfer of quoted securities or quoted rights.

Joint and several warranties and liabilities

"1109G.(1) If 2 or more persons are taken to have warranted as mentioned in subsection 1109E(2), (3) or (4), they are taken to have so warranted jointly and severally.

"(2) If 2 or more persons are liable as mentioned