New South Wales Consolidated Acts

CO-OPERATIVES ACT 1992 - SECT 35

35 Results of contravention of restriction in rules

(1) The exercise of a power or the doing of an act in contravention of section 34 is not invalid merely because of the contravention.

(2) An act of an officer of a co-operative is not invalid merely because, by doing the act, the officer contravenes section 34.

(3) The fact that the exercise of a power or the doing of an act contravenes or would contravene section 34 may be asserted or relied on only in:

(a) a prosecution of a person for an offence against this Act, or

(b) an application for an order under Division 5 of Part 4 (Oppressive conduct of affairs), or

(c) an application for an injunction under section 443 (Injunctions) to restrain the co-operative from entering into an agreement, or

(d) proceedings (other than an application for an injunction) by the co-operative, or by a member of the co-operative, against the present or former officers of the co-operative, or

(e) an application by the Registrar or by a member of the co-operative for the winding up of the co-operative.

(4) If (but for subsection (3)) the Court would have power under section 443 to grant, on the application of a person, an injunction restraining a co-operative, or an officer of a co-operative, from engaging in particular conduct constituting a contravention of section 34, the Court may, on the application of that person, order the co-operative or the officer to pay damages to that person or any other person.