Division 2, subdivision G of the Australian Securities and Investments Commission Act 2001 contains enforcement and remedy provisions relating to unfair contract terms, unconscionable conduct and consumer protections relating to the provision of financial services and products.
These include offence provisions relating to consumer protections contained in subdivision D, pecuniary penalty orders (fines), provisions relating to criminal and civil proceedings, injunctions, the required state of mind (intention, knowledge, recklessness and negligence) and defences.
Section 12DMC is titled Caps on commissions for add-on risk products supplied in connection with motor vehicles and forms part of that subdivision.
The section is extracted below.
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Caps on commissions for add-on risk products supplied in connection with motor vehicles
Commissions not to exceed determined caps
(1) A person contravenes this subsection if:
(a) the person provides a commission to another person, or receives a commission from another person, in connection with the supply (by any person to any person) of a financial service; and
(b) the financial service is the provision of an add-on risk product to a person (the product recipient ) in connection with:
(i) the sale or long-term lease of a motor vehicle to the product recipient;
(ii) the provision of credit connected with the sale or long-term lease of a motor vehicle to the product recipient; or
(iii) the provision of a warranty by the product recipient in connection with the sale or long-term lease of a motor vehicle to another person by the product recipient; and
(c) the person acquiring the motor vehicle does so as a consumer (within the meaning of the Australian Consumer Law); and
(d) providing the add-on risk product is covered by a determination under subsection (3); and
(e) the value of the commission exceeds the cap that applies, under that determination, to providing the add-on risk product.
Note: For the value of the commission, see subsections (5) to (7).
Meaning of add-on risk product
(2) An add-on risk product is a financial product that is a facility through which, or through the acquisition of which, a person manages financial risk (within the meaning of subsection 12BAA(5)).
ASIC may determine caps
(3) ASIC may, by legislative instrument, determine a cap on the value of commissions provided in connection with an add-on risk product of a kind specified in the instrument.
(4) Without limiting subsection (5), the determination may do either or both of the following:
(a) limit the circumstances in which provision of an add-on risk product of that kind is covered by the determination;
(b) provide for the way in which the value of commissions is to be ascertained for the purposes of the determination.
(5) The value of a commission provided in connection with an add-on risk product is:
(a) the value ascertained in accordance with the determination under subsection (3) that covers the provision of the add-on risk product; or
(b) if the determination does not provide for the way in which the value is to be ascertained–the sum of:
(i) to the extent that the commission is expressed as an amount of money–that amount; and
(ii) otherwise–the market value of so much of the commission as is not expressed as an amount of money.
(6) In working out the market value of something for the purposes of subparagraph (5)(b)(ii) disregard anything that would prevent or restrict its conversion to money.
(7) If a commission is provided in connection with 2 or more add-on risk products, apportion the value of the commission between the add-on risk products:
(a) in accordance with the determination under subsection (3) that covers the provision of the add-on risk products; or
(b) if the determination does not provide for such apportionment–on a reasonable basis.
(8) For the purposes of this Act, if more than one commission is provided (by one or more persons to one or more persons) in connection with the add-on risk product, subsection (1) applies as if:
(a) one single commission is provided that comprises all of those commissions; and
(b) if those commissions are provided by more than one person–that single commission is jointly provided by all of those persons; and
(c) the value of that single commission is the sum of the values of all of those commissions.
Commissions for consumer credit insurance
(9) This section does not affect the application of section 145 of the National Credit Code to a commission paid in connection with consumer credit insurance (within the meaning of the National Credit Code) unless the insurance:
(a) is an add-on risk product of a kind covered by a determination under subsection (3); and
(b) is provided in connection with:
(i) the sale or long-term lease of a motor vehicle; or
(ii) the provision of credit connected with the sale or long-term lease of a motor vehicle.
Note: In the absence of an applicable determination under subsection (3), section 145 of the National Credit Code imposes a 20% cap on commissions provided in connection with consumer credit insurance.
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Going to court can be nerve-racking, but having a strong and compassionate legal team behind you can make the experience significantly easier to deal with. Here are 12 reasons to choose our multi-award winning legal team:
Proven Track Record of Exceptional Results
Sydney Criminal Lawyers® consistently achieves outcomes which are in the highest percentile of the Judicial Commission’s sentencing statistics for criminal cases.
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Where our clients wish to plead guilty, we frequently achieve ‘dismissals’ and ‘non convictions’ in cases where other lawyers have advised there is no chance of doing so.
Highest Level of Client Satisfaction
We have the best and most comprehensive client review record of any law firm in Australia.
Regular communication, accessibility and quality service are our team’s highest priorities.
We are committed to thoroughly explaining all steps involved in the criminal law process, providing regular updates throughout the proceedings, and making ourselves accessible and responsive.
We are passionate about providing an exceptional level of service to our clients, and we fight hard to achieve optimal results in the shortest period of time.
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We have received more awards and accolades than any other criminal law firm in Australia. Our team has been awarded “Criminal Defence Firm of the Year in Australia” in a number of prestigious and competitive awards programs for several years running.
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We want our clients to know exactly how much their cases will cost from the very start. That’s why we were the first criminal law firm in Australia to publish ‘fixed fees’, back in 2004.
We offer fixed fees for most types of criminal cases and services.Our fixed fees apply to a range of Local Court cases such as drink driving, drug possession, fraud, common assault and AVOs, and also specific services such as prison visits, bail applications, appeals and defended hearings.
Unlike many other law firms, our fixed fees are published on our website – which ensures transparency and certainty.
Free First Appointment
For those who are going to court, we offer a free first conference of up to an hour with one of our Senior Criminal Defence Lawyers.
We also offer a free first conference to those who have received an unsatisfactory result after being represented in court by another law firm, or after representing themselves, and wish to appeal.
Specialist Lawyer Guarantee
We guarantee that only lawyers with substantial criminal defence experience will work on your case and appear for you in court.
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All NSW Courts
From Bombala to Broken Hill, our lawyers appear in courts throughout New South Wales – and across Australia for Commonwealth cases.
And we offer fixed fees for most criminal and traffic law cases throughout the state.
Our entire firm is exclusively dedicated to criminal law – which makes us true specialists.
All of our lawyers have years of experience representing clients in criminal cases, and our principal has been certified by the Law Society of NSW as an Accredited Criminal Law Specialist since 2005.
An ‘Accredited Specialist’ is a lawyer who has practised for at least 5 years in a particular field of law (such as criminal law), has passed a rigorous assessment process conducted by the Law Society of NSW, and has been selected by the Specialist Accreditation Committee of the Law Society as an expert in the field.
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Our firm’s specialist experience ensures you receive the best possible result, whatever your criminal law case may be.
Results-Focused Law Firm
Our team is passionate about achieving results, and unlike many other law firms, our lawyers do not have monthly financial ‘budgets’ to meet.
The absence of budgets means our lawyers are entirely focused on achieving optimal results in the shortest space of time; whether by getting charges dropped or downgraded at an early stage or having cases ‘thrown out of court’.
Not having budgets also means our lawyers are not under pressure to engage in unscrupulous practices such as unnecessarily adjourning cases or ‘overcharging’ clients – which, sadly, is a common complaint against many other lawyers and law firms.
No budgets encourages regular consultation between lawyers within the firm – promoting an ‘open door’, team environment where lawyers bounce ideas off one another, formulate case strategy together and benefit from each other’s specialised experience, methods, techniques and insights.
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Team of Lawyers Behind You
Our clients benefit from the pool of knowledge that only an extensive team of experienced criminal defence lawyers can provide.
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In such matters, clients reap the benefits of several lawyers devising and executing case strategies which maximise the chances of having cases dropped or downgraded at an early stage, or ‘thrown out of court’ – often saving clients a great deal of cost, time and anxiety.
Familiar with Magistrates and Judges
Each of our lawyers appears in court on a daily basis, and has done so for years. We have therefore been able to develop an understanding of, and rapport with, magistrates and judges in Sydney and indeed across the state.
Our team’s extensive experience before the courts ensures your case is tailored to the specific nuances of individual judicial officers, maximising the likelihood of a favourable result.
We have offices in locations across the Sydney Metropolitan Area and beyond, including:
- the Sydney CBD, on Castlereagh Street, directly opposite Downing Centre Court,
- Liverpool, directly opposite Liverpool Local Court, and
- Parramatta, near the justice precinct.
We offer free parking at our Sydney CBD and Liverpool locations, and all of our offices are close to train stations and bus terminals.
For those who are unable to attend our offices, we offer conferences by telephone, Skye and FaceTime anywhere around the world.
If you are going to court and wish to arrange a free first consultation, call our 24 hour hotline on (02) 9261 8881 or send us an email at firstname.lastname@example.org.