(1) An act done by a director is effective even if his or her appointment, or the continuance of the appointment, is invalid because the Aboriginal and Torres Strait Islander corporation or director did not comply with the corporation's constitution or any provision of this Act.
(2) Subsection (1) does not deal with the question whether an effective act by a director:
(a) binds the corporation in its dealings with other people; or
(b) makes the corporation liable to another person.
Note: The kinds of acts that this section validates are those that are only legally effective if the person doing them is a director (for example, calling a meeting of the corporation's members or signing a document to be lodged with the Registrar or minutes of a meeting). Division 104 contains rules about the assumptions people are entitled to make when dealing with an Aboriginal and Torres Strait Islander corporation and its officers.