CORPORATIONS ACT 2001
SLI 2010 No 88, reg 4, contained the following transitional arrangements:
4 Transitional arrangements for charging of fees
For section 1496 of the Act, Part 5D.3 (other than Division 4) of the Act applies to a licensed trustee company as set out in this regulation.
If a licensed trustee company had an existing client at the commencement of Schedule 1 to these Regulations, the fee the company was entitled to charge under the relevant State law for traditional trustee company services to the client continues to apply to those services whether or not the relevant State law has since been repealed.
In this regulation, a relevant State law is a law of a State or Territory in force immediately before the commencement of Schedule 2 to the Corporations Legislation Amendment (Financial Services Modernisation) Act 2009 that regulates the fees that may be charged by companies for the provision of traditional trustee company services.
If, while a licensed trustee company continues to provide a particular traditional trustee company service to a client or clients, the trustee company changes the fees that it will charge for the provision of the service, the trustee company must, within 21 days of the change of fees taking effect, comply with paragraph (a) or (b) in relation to the client or each client:
(a) if the client has requested to be sent copies of changed fees - send the client a copy of the changed fees in accordance with subsection (2); or
(b) in any other case - directly notify the client, in writing, that the changed fees are available on the internet on a specified website maintained by or on behalf of the trustee company.
Note 1: Initial disclosure to a client of the fees that a trustee company will charge for the provision of a trustee company service will generally occur through the provision to the client of a Financial Services Guide under Part 7.7 . However, this section is not limited just to situations where there has been an initial disclosure through a Financial Services Guide.
Note 1A: Other provisions in this Part and in the regulations limit the ability of licensed trustee companies to increase fees.
Note 2: Failure to comply with this subsection is an offence (see subsection 1311(1) ).
(a) an electronic copy, if that is what the client has requested; or
(b) a hard copy, in any other case. 601TAB(3) [ Client under a legal disability]
(a) a copy of changed fees required by paragraph (1)(a), or a notice required by paragraph (1)(b), must instead be given to an agent of the client;
(b) a request referred to in paragraph (1)(a) or (2)(a) may instead be made by an agent of the client.
[ CCH Note: See application provision under Pt 5D.3 heading.]