Sch 2 s 278Liability of suppliers and linked credit providers relating to linked credit contracts

278 Liability of suppliers and linked credit providers relating to linked credit contracts

(1) If a consumer who is a party to a linked credit contract suffers loss or damage as a result of:

(a) a misrepresentation relating to the credit provided under that linked credit contract, or to a supply of goods or services (a related supply) to which that contract relates; or

(b) a breach of the linked credit contract, or of a contract for a related supply; or

(c) the failure of consideration in relation to the linked credit contract, or to a contract for a related supply; or

(d) a failure to comply with a guarantee that applies, under section 54, 55, 56, 57, 60, 61 or 62, in relation to a related supply; or

(e) a breach of a warranty that is implied in the linked credit contract by section 12ED of the Australian Securities and Investments Commission Act 2001;

the linked credit provider who is a party to the contract, and the supplier of a related supply, are jointly and severally liable to the consumer for the amount of the loss or damage.

(2) A linked credit contract is a contract that a consumer enters into with a linked credit provider of a person (the supplier) for the provision of credit in relation to:

(a) the supply by way of sale, lease, hire or hire‑purchase of goods to the consumer by the linked credit provider where the supplier supplies the goods, or causes the goods to be supplied, to the linked credit provider; or

(b) the supply by the supplier of goods or services, or goods and services, to the consumer.