New South Wales Repealed Regulations

This legislation has been repealed.

PROPERTY, STOCK AND BUSINESS AGENTS (GENERAL) REGULATION 1993 - REG 38

38 Signing of trust account cheques

(1) A licensee that is a corporation or who is a sole proprietor or a partner has authority to sign a cheque drawn on the trust bank, building society or credit union account required to be maintained by section 36 of the Act (a "trust cheque").

(2) A licensee in charge of a place of business has authority to sign a trust cheque.

(3) A licensee who has authority to sign trust cheques otherwise than as a delegate may delegate the authority to sign those cheques:

(a) if the licensee is a corporation, to each director of the corporation who is the holder of a licence or certificate under the Act and to not more than 2 employees at each place of business of the corporation, or

(b) if the licensee is a sole proprietor or a partner, to not more than 2 employees at each place of business of the sole proprietor or partnership, and

(c) if the licensee is a person in charge of a place of business, to not more than 2 employees at the place of business.

(4) The delegation must be in writing and signed by the licensee and the delegate and may be revoked by the delegator by giving written notice of revocation to the delegate.

(5) A delegation in force under this section authorises the delegate to sign trust cheques to which the delegation relates:

(a) only if the delegator is unable to sign the cheque with due expedition because of his or her being sick or injured or absent for good reason, and

(b) subject to such terms and conditions (whether relating to the value of the cheques or the number of signatories or not) as may be stated in the instrument of delegation.

(6) This clause does not remove any additional prohibition or restriction on the signing of cheques made by the memorandum or articles of association or the terms of the partnership agreement of any company or partnership concerned.

(7) A licensee who purports to delegate his or her authority to sign a cheque drawn on the trust bank, building society or credit union account otherwise than in accordance with this clause is guilty of an offence.

(8) A person who signs a cheque drawn on the trust bank, building society or credit union account purporting to do so as the delegate of a licensee but who has not been authorised to do so in accordance with this clause is guilty of an offence.

Maximum penalty (subclauses (7) and (8)): 40 penalty units in the case of a corporation or 20 penalty units in any other case.