20Cooling‑off period

20 Cooling‑off period

(1) If the term of a horticulture produce agreement is for a period of 90 days or more or is not specified, either party to the agreement may terminate the agreement, in writing, within: (a) 14 days after the day on which the agreement is entered into (the initial cooling‑off period); or (b) such shorter or longer period as is agreed by the parties under this clause. (2) The initial cooling‑off period must not be reduced by more than 7 days. (3) To avoid doubt, if a horticulture produce agreement is terminated during a period mentioned in paragraph (1)(a) or (b), any trade that has occurred under the agreement before the termination is governed by the terms of the agreement. (4) Subject to subclause (5), a party to a horticulture produce agreement who receives a payment (of money or other valuable consideration) for the purposes of, and directly related to, trade that would have occurred after the termination of the agreement, must return the payment to the party who made the payment within 14 days after the day on which the agreement is terminated.

Civil penalty: 300 penalty units.

(5) A party required to return a payment under subclause (4) may deduct, from the amount to be returned, reasonable expenses incurred under the agreement for the purposes of, and directly related to, trade that would have occurred after the termination of the agreement.