Cash Distribution Framework Act 2026
30Dealing in relation to negotiations—good faith and advising of arbitration process
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30 Dealing in relation to negotiations—good faith and advising of arbitration process
(1) A designated entity is liable to a civil penalty if:
(a) the entity participates in negotiations with another person about a proposed service agreement or access agreement; and
(b) the entity would be the provider for the agreement; and
(c) either:
(i) the entity fails to deal in good faith with the other person in relation to the negotiations; or
(ii) the entity fails to advise the other person in writing about the existence of the arbitration process in Division 2 of Part 4 in the course of the negotiations.
Note: An individual may be liable for an ancillary contravention of this civil penalty provision (see section 92 of the Regulatory Powers Act).
Civil penalty:
(a) for a body corporate—5,000 penalty units; and
(b) for an individual—1,000 penalty units.
(2) A designated entity is liable to a civil penalty if:
(a) the entity participates in negotiations with another person about a proposed agreement to vary a service agreement or access agreement; and
(b) the entity is the provider for the agreement; and
(c) either:
(i) the entity fails to deal in good faith with the other person in relation to the negotiations; or
(ii) the entity fails to advise the other person in writing about the existence of the arbitration process in Division 2 of Part 4 in the course of the negotiations.
Note: An individual may be liable for an ancillary contravention of this civil penalty provision (see section 92 of the Regulatory Powers Act).
Civil penalty:
(a) for a body corporate—5,000 penalty units; and
(b) for an individual—1,000 penalty units.