8Exemption certificate required for enforcement action

8 Exemption certificate required for enforcement action

8 Exemption certificate required for enforcement action

(1) A creditor must not take enforcement action in respect of a farm mortgage unless an exemption certificate granted to the creditor is in force in respect of the farm debt concerned.

Maximum penalty:

(a) for a corporation—2,500 penalty units, or

(b) for an individual—500 penalty units.

(2) Enforcement action taken by a creditor in respect of a farm debt in contravention of this Act is void.

(3) This section does not invalidate any statutory enforcement notice or other process given, served or executed in order to fulfil a condition precedent to the taking of any enforcement action, but operates to prohibit the taking of the action concerned and the enforcement by a court or tribunal of any such notice or process.

(4) Subsection (3) does not affect any proceedings authorised under section 15 (5) to be continued or concluded after the expiry of an exemption certificate.

s 8: Am 1996 No 106, Sch 1 [2]. Rep 2018 No 16, Sch 1 [10]. Ins 2018 No 16, Sch 1 [9].