Australian Capital Territory Current Acts Australian Capital Territory Current Acts(1) A thing in action arising under the RITS system that entitles its holder to a security of a particular description (the underlying security ) is, for this Act and the trust instrument, taken to be the same in all respects as the underlying security.
Note A thing in action (also called a chose in action ) is an intangible personal property right recognised and protected by the law. Examples include debts, money held at a bank, shares, rights under a trust, copyright, and the right to sue for breach of contract.
(2) Accordingly, the holding or acquisition by a trustee of such a thing in action is to be regarded as an investment by the trustee in the underlying security.
(3) It does not matter that the right conferred by the thing in action is a right in relation to securities of a particular description and not in relation to particular securities.
(4) This section applies only to the extent that the trust instrument does not expressly forbid its application.
(5) In this section:
"RITS system" means the Reserve Bank Information and Transfer System operated by the Reserve Bank of Australia, as operating from time to time.