Commonwealth Consolidated Acts

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COMMONWEALTH AUTHORITIES AND COMPANIES ACT 1997 - SECT 27E

Responsibility for actions of delegate

             (1)  If the directors of a Commonwealth authority delegate a power under its enabling legislation, a director is responsible for the exercise of the power by the delegate as if the power had been exercised by the directors themselves.

             (2)  A director is not responsible under subsection (1) if:

                     (a)  the director believed on reasonable grounds at all times that the delegate would exercise the power in conformity with the duties imposed on directors of the Commonwealth authority by this Act and the authority's enabling legislation; and

                     (b)  the director believed:

                              (i)  on reasonable grounds; and

                             (ii)  in good faith; and

                            (iii)  after making proper inquiry if the circumstances indicated the need for inquiry;

                            that the delegate was reliable and competent in relation to the power delegated.



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