Corporations Act 2001

CHAPTER 7 - FINANCIAL SERVICES AND MARKETS  

PART 7.1 - PRELIMINARY  

Division 4 - When does a person provide a financial service?  

SECTION 766A   WHEN DOES A PERSON PROVIDE A FINANCIAL SERVICE ?  

General

766A(1)  
For the purposes of this Chapter, subject to paragraph (2)(b), a person provides a financial service if they:


(a) provide financial product advice (see section 766B ); or


(b) deal in a financial product (see section 766C ); or


(c) make a market for a financial product (see section 766D ); or


(d) operate a registered scheme; or


(e) provide a custodial or depository service (see section 766E ); or


(ea) provide a crowd-funding service (see section 766F ); or


(f) engage in conduct of a kind prescribed by regulations made for the purposes of this paragraph.

Provision of traditional trustee company services by trustee company

766A(1A)  


Subject to paragraph (2)(b), the provision by a trustee company of a traditional trustee company service constitutes the provision, by the company, of a financial service .

Note: Trustee companies may also provide other kinds of financial service mentioned in subsection (1).

766A(1B)  


The regulations may, in relation to a traditional trustee company service of a particular class, prescribe the person or persons to whom a service of that class is taken to be provided. This subsection does not limit (and is not limited by) subsection (2).

Note: A traditional trustee company service is provided to a person as a retail client unless regulations provide otherwise (see subsection 761G(6A) ).

Regulations may deal with various matters

766A(2)  
The regulations may set out:


(a) the circumstances in which persons facilitating the provision of a financial service (for example, by publishing information) are taken also to provide that service; or


(b) the circumstances in which persons are taken to provide, or are taken not to provide, a financial service.

Exception for work ordinarily done by clerks or cashiers

766A(3)  
To avoid doubt, a person's conduct is not the provision of a financial service if it is done in the course of work of a kind ordinarily done by clerks or cashiers.

Meaning of operating a registered scheme

766A(4)  
For the purposes of this section, a person is not operating a registered scheme merely because:


(a) they are acting as an agent or employee of another person; or


(b) they are taking steps to wind up the scheme.


 

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