Section 849CC — Corporations Act 2001: Exercise of Reserve Bank powers under this Part not grounds for denial of obligations

(1) Subject to subsection (5), this section applies if a body corporate (the protected body corporate) is party to an arrangement, whether the proper law of the arrangement is: (a) Australian law; or (b) foreign law, including the law of part of a foreign country. (2) None of the matters mentioned in subsection (3) allows the arrangement, or a party to the arrangement (other than the protected body corporate), to do any of the following: (a) deny any obligation under the arrangement; (b) accelerate any debt under the arrangement; (c) terminate or close out: (i) the arrangement; or (ii) any transaction relating to the arrangement; (d) enforce any security under the arrangement. (3) The matters are as follows: (a) the protected body corporate being subject to the exercise of a power under this Part by the Reserve Bank; (b) a body corporate to which subsection (4) applies being subject to the exercise of a power under this Part by the Reserve Bank; (c) if section 842A applies to a body corporate to which subsection (4) of this section applies—the financial position of: (i) that body corporate; or (ii) any other body corporate to which that subsection applies. (4) For the purposes of paragraph (3)(b) or (c), this subsection applies to: (a) a related body corporate of the protected body corporate; or (b) a body corporate that was a related body corporate of the protected body corporate before a transfer of business or shares under this Part. Payment Systems and Netting Act 1998 prevails over this section (5) If there is any inconsistency between: (a) subsections (1) to (4) of this section; and (b) the Payment Systems and Netting Act 1998; that Act prevails to the extent of the inconsistency. Arrangements to which this section does not apply (6) This section does not apply to a kind of arrangement prescribed by the regulations for the purposes of this subsection.