Sch 2 s 189Termination charges

189 Termination charges

(1) A supplier of goods who is a party to a lay‑by agreement commits an offence if the agreement requires the consumer to pay a termination charge.

Penalty:

(a) if the person is a body corporate—$30,000; or

(b) if the person is not a body corporate—$6,000.

(2) Subsection (1) does not apply if the termination charge is payable only if:

(a) the agreement is terminated by the consumer; and

(b) the supplier has not breached the agreement.

(3) A supplier of goods who is a party to a lay‑by agreement commits an offence if:

(a) the agreement provides that a termination charge is payable; and

(b) the amount of the charge is more than the supplier’s reasonable costs in relation to the agreement.

Penalty:

(a) if the person is a body corporate—$30,000; or

(b) if the person is not a body corporate—$6,000.

(4) Subsections (1) and (3) are offences of strict liability.