New South Wales Consolidated Acts

FARM DEBT MEDIATION ACT 1994 - SECT 11B

11B Rights during cooling off period

(1) The farmer may, during a cooling off period arising under section 11A, serve a written notice on the creditor or the creditor’s Australian legal practitioner to the effect that the farmer rescinds the Heads of Agreement subject to the cooling off period.

(2) The notice of rescission must be signed by the farmer or the farmer’s Australian legal practitioner.

(3) On service of a notice of rescission signed in accordance with this section, the Heads of Agreement are taken to be rescinded ab initio.

(4) If rescission occurs, the farmer or creditor is entitled to make a claim for such compensation, adjustment or accounting as is just and equitable between the farmer and the creditor where a party has received a benefit under the Heads of Agreement.

(5) This section and section 11A do not affect any right or remedy available otherwise than under this section or section 11A.

(6) A creditor may not make a claim under subsection (4) if the only basis of the claim is the rescission of the Heads of Agreement under this section.