201Mortgages and trusts

#### 201 Mortgages and trusts (1) If a policy is assigned by way of mortgage or on trust: (a) the mortgage or trust is not effective unless: (i) it is created by some means other than the memorandum of transfer; and (ii) the memorandum of transfer does not contain any provisions about the rights and duties of the assignor, the assignee or any other person in respect of the mortgage or trust; and (b) no notice of the mortgage or trust is to be entered on the memorandum of transfer or endorsed on the policy; and (c) subject to section 202, the life company is not affected by express, implied or constructive notice of the mortgage or trust. (2) In spite of subsection (1), the transferee under an assignment may be described in the memorandum of transfer as the trustee or trustees of a superannuation fund.