ASIC Consults on Remaking Class Order on Notification Requirements for Unlicensed Carried over Instrument Lenders and Clarification of Credit Disclosure Obligations

ASICAustralian Securities and Investments Commission – ASIC today released a consultation paper (CP 331) proposing to remake two class orders that are due to expire (‘sunset’) on 1 October 2020 and 1 April 2021.

The class orders proposed to be remade are:

  • Class Order [CO 10/381] Notice lodgment requirements for certain persons who are credit providers or lessors in relation to a carried over instrument; and
  • Class Order [CO 10/1230] Clarification of credit disclosure obligations – including commencement.

ASIC proposes to preserve the effect of these class orders because it has reached the preliminary view that they continue to form a useful part of the legislative framework. No substantive changes are proposed.

Consultation Paper 331 Remaking ASIC class orders on unlicensed carried over instrument lenders: [CO 10/381] and clarifying credit disclosure obligations: [CO 10/1230] (CP 331) outlines the background to the class orders that we propose to remake and our rationale for remaking them.

The proposed new instruments will be drafted using ASIC’s current style and format, while preserving the current effect of [CO 10/381] and [CO 10/1230]. The new instruments will largely replicate the current instruments. The current instruments can be found at by clicking on the following direct links: [CO 10/381] and [CO 10/1230].

Submissions on CP 331 are due on 20 August 2020.