May 2009
| Inhouse Home Page | Inhouse Library | Inhouse Archives | Search This Site |
In this edition:
Note: All hyperlinks below were correct at the time of publication. Generally, it is too onerous a task for us to check and update these and so if a hyperlink is no longer valid, please accept our apologies.
The Government has introduced its Carbon Pollution Reduction Scheme legislation into Parliament. The package of legislation can be downloaded from:
http://www.climatechange.gov.au/emissionstrading/legislation/index.html
The Government has released an exposure draft of the Corporations Legislation Amendment (Financial Services Modernisation) Bill 2009 and associated regulations and explanatory commentaries. The Bill will bring margin loans and trustee companies within the regulatory framework of the Corporations Act and make some minor modifications around the regulation of debentures. The materials can be viewed at:
http://www.treasury.gov.au/contentitem.asp?NavId=037&ContentID=1533
The Government has released an exposure draft of the Trade Practices Amendments (Australian Consumer Law) Bill 2009, which will amend the Trade Practices Act 1974 and Australian Securities Investment Commission Act 2001 to introduce an unfair contracts regime. The draft is available on the Treasury website at:
http://www.treasury.gov.au/documents/1537/PDF/The_Australian_Consumer_Law_Consultation_Paper.pdf
The Government has released a second discussion paper calling for public comment on the best way to address the issue of creeping acquisitions. The paper can be viewed at:
http://www.treasury.gov.au/documents/1530/PDF/Discussion_paper_Creeping_Acquisitions.pdf
The Government has released an options paper entitled Access to Share Registers and the Regulation of Unsolicited Off Market Offers. The paper puts forward a range of options to address the continuing practice by some entities of making undervalued, unsolicited off market offers to shareholders to purchase their shares. For further details, please see:
http://www.treasury.gov.au/contentitem.asp?NavId=037&ContentID=1548
The Government has released an exposure draft of its new laws on executive termination payments. The draft Bill, regulations and explanatory memorandum are available at:
http://www.treasury.gov.au/contentitem.asp?NavId=037&ContentID=1531
The Workplace Relations Ministers' Council has agreed to a framework for nationally harmonised occupational health and safety laws and released a detailed response to the recommendations of last year's National Review into Model OHS Laws. The response can be downloaded at:
ACCC has released information about the 'clarity in pricing' amendments to the Trade Practices Act 1974 that came into effect on 25 May 2009. The amendments require a business that advertises a part of the price of a particular product or service to also provide a single figure that reflects the total price to be paid. The information can be accessed at:
http://www.accc.gov.au/content/index.phtml/itemId/871560
APRA has released a consultation package on proposals to enhance the prudential framework for life insurance companies. The package contains a discussion paper and four draft prudential standards and can be viewed at:
http://www.apra.gov.au/Life/Enhanced-supervision-of-life-companies.cfm
APRA has released a consultation package on executive remuneration for authorised deposit‑taking institutions and general and life insurance companies, comprising a discussion paper, draft extensions to the governance standards already applying in these industries and a draft prudential practice guide. They are available at:
http://www.apra.gov.au/Policy/Remuneration-requirements-consultation-May-2009.cfm
APRA has released a discussion paper and draft prudential practice guide on the management of information technology security risks by institutions regulated by APRA. They can be downloaded at:
http://www.apra.gov.au/Policy/IT-Security-Risk.cfm
APRA has released a discussion paper on enhancing its superannuation statistical collections and publications. It can be accessed at:
http://www.apra.gov.au/Policy/Enhanced-Superannuation-Statistics.cfm
APRA, ASIC and the Reserve Bank of Australia have jointly released a report entitled Survey of the OTC Derivatives Market in Australia, which identifies a number of areas in which operational and risk management practices could be enhanced. The report is available at:
ASIC lifted the ban on covered short selling of financial securities at 10am on 25 May 2009. See Media Release 09-94:
ASIC has increased the claim limits and compensation caps in EDR schemes and made consequential changes to Regulatory Guide 139 Approval and oversight of external dispute resolution schemes and Regulatory Guide 165 Licensing: Internal and external dispute resolution. The revised Regulatory Guides are available at:
http://www.asic.gov.au/asic/pdflib.nsf/LookupByFileName/rg139.pdf/$file/rg139.pdf
http://www.asic.gov.au/asic/pdflib.nsf/LookupByFileName/rg165.pdf/$file/rg165.pdf
ASIC has released an updated Regulatory Guide 175 Licensing: Financial product advisers – Conduct and disclosure, which incorporates changes in the law since the regulatory guide was last updated and consolidates other guidance previously published by ASIC. The revised Regulatory Guide can be viewed at:
http://www.asic.gov.au/asic/pdflib.nsf/LookupByFileName/rg175.pdf/$file/rg175.pdf
ASX has released its first public review of disclosure by listed mining entities of their compliance with the JORC Code. The review is available at:
http://www.asx.com.au/about/pdf/mr_140509_jorc_code_review.pdf
ASX has re-activated the short sale order condition code "SHL" so that trading participants have the ability, but not the obligation, to tag short sale orders and trades on a "real time" basis and made corresponding changes to the Market Rules Procedures. See ASX Circular 151/09 and attachments:
ASX has published guidance on the lifting of the ban on covered short selling for financial securities. See ASX Circular 169/09:
ASX has announced its timetable for the introduction of enhanced reporting of equity securities lending transactions. See ASX Circular 168/09 and attachments:
AUSTRAC has updated its No-action letters guidance note to provide examples of the circumstances in which a no-action letter may be considered as an alternative to an exemption request under sections 247 or 248 of the AML/CTF Act. The amended guidance note is available at:
http://www.austrac.gov.au/files/gn0801_no_action_letters_revised.pdf
For a summary of some of the key features of the proposed National Consumer Credit Protection Bill 2009, see Allens Arthur Robinson, Focus: Proposed Changes to Consumer Credit Code - 13 May 2009 and Focus: National Licensing Regime for Credit Providers, Finance Brokers and Intermediaries - 21 May 2009:
http://www.aar.com.au/pubs/baf/fobaf13may09.htm
http://www.aar.com.au/pubs/baf/fobaf21may09.htm
Allens Arthur Robinson and Mallesons Stephen Jaques have jointly published a table of steps that lenders should be taking to deal with the Queensland Supreme Court's controversial decision in Re Octaviar Ltd. The table, which the two firms have settled with senior counsel, can be downloaded from:
http://www.aar.com.au/pubs/baf/cubafmay09.htm
http://www.mallesons.com/publications/2009/Apr/9893935W.htm
Corrs Chambers Westgarth, James Hardie Decision: Impact on General Counsel analyses some of the lessons for general counsel arising out of the James Hardie decision. It can be viewed at:
For a summary of recent developments in employee relations law, see Mallesons Stephen Jaques, Workplace (E)ssentials - May 2009:
http://www.mallesons.com/publications/update-combine.cfm?id=1737416
For a summary of the measures in the Federal budget impacting on employers, see Freehills, The Federal Budget - What it Means for Employers - 13 May 2009:
http://www.freehills.com.au/4980.aspx
The Fair Work Act 2009 (Cth) contains some important changes to the law governing the transmission of employment contracts upon a transfer of a business. For further details, see Deacons, Legal Update: Transfer of Business under the Fair Work Act 2009 (Cth) - 22 May 2009:
The International Organization of Securities Commissions' Technical Committee Task Force on Unregulated Markets and Products has published a consultation report for public comment that examines ways to introduce greater transparency and oversight in unregulated financial markets and products. It can be downloaded at:
http://www.iosco.org/library/pubdocs/pdf/IOSCOPD290.pdf
The Federal budget included significant changes impacting on the operation of managed funds in Australia. For further details, see Mallesons Stephen Jaques, 2009 Federal Budget Measures - Significant Changes for Managed Funds - 15 May 2009:
http://www.mallesons.com/publications/2009/May/9912457W.htm
For a summary of the key reforms in the Corporations Legislation Amendment (Financial Services Modernisation) Bill 2009, see Freehills, Overhaul of Margin Lending Regime - How will it Impact Margin Lenders? - 13 May 2009 and New Trustee Company Legislation: How will it Impact You? - 22 May 2009:
http://www.freehills.com.au/4977.aspx
http://www.freehills.com.au/4999.aspx
The State and Territory Attorneys-General have agreed to draft new uniform Commercial Arbitration Acts based on the UNCITRAL Model Law on International Commercial Arbitration. See Allens Arthur Robinson, Focus: New Commercial Arbitration Legislation for the States - 7 May 2009:
http://www.aar.com.au/pubs/ldr/foldrmay09.htm
For a summary of the major revenue and expenditure measures in the Federal budget impacting on business, see Mallesons Stephen Jaques, 2009 Budget Overview - Tax Highlights at a Glance - 12 May 2009:
http://www.mallesons.com/publications/2009/May/9908619W.htm
The ATO has issued a new Interpretative Decision addressing some of the tax issues that need to be considered by foreign resident taxpayers that lease substantial equipment in Australia. See Mallesons Stephen Jaques, Permanent Establishments: New Interpretative Decision Issued - 1 May 2009:
http://www.mallesons.com/publications/2009/May/9895121W.htm
The ATO has also issued a new ruling on the meaning of "ordinary time earnings" and "salary or wages" in the superannuation guarantee regime. The final ruling differs significantly from a draft released in November 2008. See Mallesons Stephen Jaques, ATO Issues New Ruling on "Ordinary Time Earnings" - 14 May 2009:
http://www.mallesons.com/publications/2009/May/9912576W.htm
In Burbank Trading Pty Ltd v Allmere Pty Ltd [2009] VSCA 82, a shareholders agreement for a joint venture company conferred pre-emptive rights if either of the shareholders was subject to a "change in ultimate control". The Victorian Court of Appeal held that the appointment of a voluntary administrator to one of the shareholders constituted a change in control of that shareholder and therefore triggered the pre-emptive rights. The decision can be viewed at:
http://cclsr.law.unimelb.edu.au/judgments/states/vic/2009/may/2009vsca82.htm
In Brookfield Multiplex Limited v International Litigation Funding Partners Pte Ltd (No 3) [2009] FCA 450, the Federal Court held that litigation funding agreements do not constitute a "managed investment scheme" and therefore do not need to be registered under Chapter 5C of the Corporations Act 2001. The decision can be viewed at:
http://cclsr.law.unimelb.edu.au/judgments/states/federal/2009/may/2009fca450.htm
Copyright © 2009 Inhouse Legal Solutions Pty Limited ("ILS") ABN 16 003 663 456.
This newsletter is a summary only of the subject matter covered and is not intended to be, nor should it be relied upon as, a substitute for legal or other professional advice. It is made available without the assumption of a duty of care by ILS, or the officers, employees or agents of ILS who were involved in its preparation and without any representation or warranty as to accuracy or completeness. ILS is not responsible for, and gives no representations or warranties regarding, the source, quality, accuracy or completeness of the materials on any website to which a hyperlink is provided above.