Victorian Consolidated Legislation

Credit Act 1984 - SECT 85A

Stay of civil penalty pending Tribunal's decision

85A. Stay of civil penalty pending Tribunal's decision



(1) When an application is made for a determination under section 85, the
civil penalty to which the application relates is stayed pending the disposal
of the application by the Tribunal.

(2) For the purposes of staying any such civil penalty, the application
operates as an interim determination of the Tribunal in the terms sought by
the application pending its disposal by the Tribunal.

(3) Until the interim determination ceases to have effect, the credit provider
must not, in relation to an amount in excess of the amount financed under the
regulated contract concerned-

   (a)  take enforcement action against the debtor; or

   (b)  enter into an agreement under section 69 for the refinancing of the
        contract; or

   (c)  make a default charge under section 72.

(4) When the application is disposed of by the Tribunal, the interim
determination under this section ceases to have effect and (unless a
determination in the same terms is made by the Tribunal) is taken never to
have had effect.

(5) The Tribunal may, before disposing of the application, give the applicant
such directions as it considers appropriate to protect the interests of the
debtors concerned, including directions relating to the payment of all or any
of the amounts concerned into a trust account.

(6) This section does not apply to an application for a determination if-

   (a)  the determination cannot be made by the Tribunal under section 85; or

   (b)  the Tribunal excludes the application from the operation of this
        section because a direction under subsection (5) has not been complied
        with or for any other reason.

(7) For the purposes of this section, a reference to the disposal of an
application includes a reference to the withdrawal of the application by the
applicant.

(8) In this section, civil penalty means a penalty which is imposed on a
credit provider by the operation of section 42, 67 or 81 and under which the
debtor is not liable to pay to the credit provider an amount otherwise payable
under a regulated contract.