Western Australian Consolidated Acts

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FAIR TRADING ACT 1987 - SECT 81

81 .         Offences by directors, employers, and vicarious liability

        (1)         Where a corporation within the meaning of the Corporations Act 2001 of the Commonwealth or any other body of persons, corporate or unincorporate, is convicted of an offence against this Act, each person who, at the time of the commission of that offence, was a director of the corporation or was the manager, secretary or other similar officer of that body, or who purported to act in any such capacity, is also guilty of an offence unless he proves — 

            (a)         that the offence was committed without his knowledge, or that he did not authorise or permit the commission of the offence; and

            (b)         that he was not in a position to influence the conduct of that corporation or body or, being in such a position, could not by the exercise of reasonable diligence have prevented the commission of the offence,

                and is liable to a penalty not exceeding the penalty prescribed for the offence of which the corporation or body was convicted.

        (2)         Where the affairs of a body of persons are managed by its members, subsection (1) applies in relation to the acts and defaults of a member in connection with his function of management as if he were the manager of that body.

        (3)         Where the employee or agent of a person is convicted of an offence against this Act, each person who, at the time of the commission of the offence, was his employer or principal is also guilty of an offence, unless he proves that he could not by the exercise of reasonable diligence have prevented the commission of the offence of which his employee or agent was convicted, and is liable to a penalty not exceeding the penalty prescribed for the offence of which the employee or agent was convicted.

        (4)         Where a person has committed an offence against Division 1 of Part II, or would have committed an offence but for the fact that he could establish a defence under section 83(1), and the contravention, or what would have constituted the contravention, was due to the act or default of another person —

            (a)         that other person — 

                  (i)         is also guilty of an offence and liable to the same penalty as is provided for the offence against Division 1 of Part II; and

                  (ii)         may be charged and convicted of the offence, whether or not proceedings are taken against the first-mentioned person for the offence against Division 1 of Part II;

                and

            (b)         the first-mentioned person shall be a competent and compellable witness in any proceedings taken against that other person in respect of the offence.

        [Section 81 amended by No. 10 of 2001 s. 75.]



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