New South Wales Consolidated Acts

REGISTERED CLUBS ACT 1976 - SECT 41R

41R Termination of certain contracts

(1) This section applies in relation to a contract (other than a contract for the disposal of real property owned or occupied by a registered club) entered into by a registered club in contravention of a provision of Division 4.

(2) If the Director is of the opinion that a contract is a contract to which this section applies, the Director may serve on each party to the contract a notice in writing affording the party an opportunity to show cause within 14 days why the contract should not be terminated.

(3) The notice is to specify the provision of Division 4 that the Director considers has been contravened or the term or condition of the contract that the Director considers is not being, or has not been, complied with.

(4) A party to the contract may, within the period specified in the notice, arrange with the Director for the making of submissions as to why the contract should not be terminated.

(5) After considering any submissions so made, the Director may, by notice in writing served on each party to the contract, declare that the contract will be terminated on a day specified in the notice.

(6) A contract the subject of a notice under subsection (5) is terminated by force of this section at and from the date specified in the notice for the termination of the contract.

(7) The Director is not to issue a notice under subsection (5) if the Director considers that the registered club concerned may be affected adversely by the termination of the contract.

(8) The Director may take action under this section in relation to a contract whether or not proceedings have been instituted against any person with respect to the purported contravention of Division 4, or purported failure to comply with a term or condition of the contract, that the Director believes is the ground for taking the action.

(9) This section extends to a contract entered into by a registered club before the commencement of this section if the club would have contravened a provision of Division 4 by entering into the contract after that commencement and so extends as if the contract was entered into in contravention of the provision.