Document ID: chunk:federal_register_of_legislation:C2012C00868:clause:2_282
Version: federal_register_of_legislation:C2012C00868
Segment Type: clause
Provision Reference: sch 2 cl 282
Character Range: 400958–402325

282  Counter‑claims and offsets

 (1) If proceedings in relation to a linked credit contract are brought against a consumer who is party to the contract by the linked credit provider who is a party to the contract, the consumer is not entitled to:
 (a) make a counter‑claim in relation to the credit provider's liability under section 278(1); or
 (b) exercise a right conferred by subsection (3) of this section in relation to that liability;
unless the consumer claims in the proceedings against the supplier in respect of the liability, by third‑party proceedings or otherwise.

 (2) Subsection (1) does not apply if:
 (a) the supplier has been dissolved or the winding up of the supplier has commenced; or
 (b) both of the following apply:
 (i) in the opinion of the court in which the proceedings are taken, it is not reasonably likely that a judgment obtained against the supplier would be satisfied;
 (ii) that court has, on the application of the consumer, declared that that subsection does not apply in relation to the proceedings.

 (3) In any proceedings in relation to a linked credit contract in which the linked credit provider who is a party to the contract claims damages or an amount of money from a consumer, the consumer may offset, in whole or in part, the consumer's liability against any liability of the credit provider under section 278(1).