NSWIn ForceAct
Farm Debt Mediation Act 1994
10Grant or refusal of prohibition certificate
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#### 10 Grant or refusal of prohibition certificate
10 Grant or refusal of prohibition certificate
> > (1) The Authority may, on application, grant or refuse a prohibition certificate.
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> > (2) The Authority must grant a prohibition certificate if:
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> > > (a) the farmer is in default under the farm mortgage, and
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> > > (b) the farmer has given the creditor a mediation request in respect of the farm debt concerned, and
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> > > (c) no exemption certificate is in force in relation to the farm mortgage, and
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> > > (d) the Authority is satisfied that there is at least one additional ground for granting the prohibition certificate.
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> > (3) Each of the following is an additional ground for granting a prohibition certificate:
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> > > (a) the farmer has attempted to mediate in good faith throughout the period of 3 months commencing on the day on which the mediation request was given, but no satisfactory mediation has taken place,
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> > > (b) the creditor has failed to respond to a mediation request in respect of the farm debt within the period required by Part 2 (or within such longer period as the Authority considers is reasonable in the circumstances),
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> > > (c) the creditor has indicated in writing to the Authority or the farmer that the creditor does not wish to enter into or proceed with mediation,
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> > > (d) the creditor has, in any other manner, declined to mediate (whether under this Act or under a corresponding law of another State or Territory).
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> > (4) However, the Authority may refuse to grant a prohibition certificate where the creditor has failed to respond to a mediation request if the Authority is satisfied that:
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> > > (a) the creditor’s failure to respond is justified in the circumstances, and
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> > > (b) the creditor intends to mediate within a period that is reasonable in the circumstances.
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> **s 10:** Am 1996 No 106, Sch 1 \[3\] \[4\]. Rep 2018 No 16, Sch 1 \[10\]. Ins 2018 No 16, Sch 1 \[9\].