Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) If, in relation to a category of transactions, being all transactions or a class of transactions effected through a licensed market, the market licensee:
(a) does not have any clearing and settlement arrangements for transactions in that category; or
(b) has clearing and settlement arrangements for transactions in that category, but they are not arrangements with the operator of a clearing and settlement facility for the clearing and settlement of such transactions through the facility;
the market licensee must, before a person becomes a participant in the market, give the person written advice:
(c) if paragraph (a) applies--that the licensee does not have any clearing and settlement arrangements for transactions in that category, and that it is the responsibility of the parties to such transactions to make their own arrangements for the clearing and settlement of such transactions; or
(d) if paragraph (b) applies--setting out particulars of the clearing and settlement arrangements for transactions in that category.
Note: Failure to comply with this subsection is an offence (see subsection 1311(1)).
(2) Within a reasonable time before a market licensee ceases, in relation to a category of transactions, being all transactions or a class of transactions effected through a licensed market, to have clearing and settlement arrangements (the terminating arrangements ) with the operator of a particular clearing and settlement facility for the clearing and settlement of such transactions through the facility, the market licensee must give the participants in the market written advice:
(a) if the terminating arrangements are not being replaced by any other clearing and settlement arrangements--that the licensee will no longer have clearing and settlement arrangements for that category of transactions, and that it will be the responsibility of the parties to such transactions to make their own arrangements for the clearing and settlement of such transactions; or
(b) if the terminating arrangements are being replaced by new clearing and settlement arrangements--setting out particulars of the new arrangements.
Note: Failure to comply with this subsection is an offence (see subsection 1311(1)).