14Creditor must obtain exemption certificate before taking enforcement action

14 Creditor must obtain exemption certificate before taking enforcement action

(1)  A Creditor must not take an enforcement action in respect of a farm mortgage unless an exemption certificate –

(a) is granted to the Creditor; and

(b) is in force in respect of the relevant farm debt.

Penalty:  In the case of –

(a) a corporation, a fine not exceeding 1 500 penalty units; or

(b) an individual, a fine not exceeding 300 penalty units.

(2)  An 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 a statutory enforcement notice or other process given, served or executed in order to fulfil a condition precedent to the taking of an 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 17(5) to be continued and concluded after the expiry of an exemption certificate.