Housing Loans Insurance Corporation (Transfer of Pre-transfer Contracts) Act 2006

Administered by Department of the Treasury

Legislation au C2006A00141 Not in force Act

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Housing Loans Insurance Corporation (Transfer of Pre‑transfer Contracts) Act 2006

 

No. 141, 2006

 

 

 

 

 

An Act to transfer pre‑transfer contracts, associated documents and certain related rights and liabilities of the Commonwealth, and for related purposes

 

 

 

Contents

Part 1—Preliminary

1 Short title

2 Commencement

3 Definitions

4 Act binds the Crown

Part 2—Declaration

5 Vesting day and acquirer

Part 3—Transfer to acquirer

6 Transfer to acquirer

7 Certain instruments to continue in force

8 Exemption from stamp duty and other State or Territory taxes

Part 4—Other matters

9 Appropriation

10 Delegation

11 Regulations

 

 

 

Housing Loans Insurance Corporation (Transfer of Pre-transfer Contracts) Act 2006

No. 141, 2006

 

 

 

An Act to transfer pre‑transfer contracts, associated documents and certain related rights and liabilities of the Commonwealth, and for related purposes

[Assented to 30 November 2006]

The Parliament of Australia enacts:

Part 1—Preliminary

 

1  Short title

  This Act may be cited as the Housing Loans Insurance Corporation (Transfer of Pre‑transfer Contracts) Act 2006.

2  Commencement

  This Act commences on the day after it receives the Royal Assent.

3  Definitions

  In this Act:

acquirer means the person who is declared to be the acquirer for the purposes of this Act under subsection 5(1).

associated document means a document that:

 (a) was owned by the Commonwealth immediately before the vesting day; and

 (b) contains information that a person requires to manage a pre‑transfer contract.

exempt matter means:

 (a) the vesting of an asset, right or liability under this Act; or

 (b) the operation of this Act in any other respect.

liability means any liability, duty or obligation, whether actual, contingent or prospective.

pre‑transfer contract means a contract:

 (a) that is a contract of insurance (including such a contract that is of a kind known as a cover note); and

 (b) that is in force; and

 (c) the ownership of which was vested in the Commonwealth under paragraph 7(1)(c) of the Housing Loans Insurance Corporation (Transfer of Assets and Abolition) Act 1996.

relevant legislative instrument means a legislative instrument (within the meaning of the Legislative Instruments Act 2003) that, immediately before the vesting day:

 (a) was in force; and

 (b) contained references to the Housing Loans Insurance Corporation that were taken, under section 8 of the Housing Loans Insurance Corporation (Transfer of Assets and Abolition) Act 1996, to be references to the Commonwealth.

right means any right, power, privilege or immunity, whether actual, contingent or prospective.

vesting day means the day declared to be the vesting day for the purposes of this Act under subsection 5(1).

4  Act binds the Crown

  This Act binds the Crown in right of the Commonwealth, of each of the States, of the Australian Capital Territory, of the Northern Territory and of Norfolk Island.


Part 2—Declaration

 

5  Vesting day and acquirer

 (1) The Minister may, by written instrument, declare that:

 (a) a specified day is the vesting day for the purposes of this Act; and

 (b) a specified person is the acquirer for the purposes of this Act.

 (2) The day specified in the instrument must not be earlier than the day on which the instrument is made.

Publication in Gazette

 (3) The Minister must publish a copy of an instrument made under subsection (1) in the Gazette.

 (4) A failure to comply with subsection (3) does not affect the validity of any declaration made under this section.

Instruments not legislative instruments

 (5) An instrument made under subsection (1) is not a legislative instrument.


Part 3—Transfer to acquirer

 

6  Transfer to acquirer

  On the vesting day:

 (a) each pre‑transfer contract and associated document ceases to be an asset of the Commonwealth and becomes an asset of the acquirer without any conveyance, transfer or assignment; and

 (b) any rights of the Commonwealth:

 (i) under a pre‑transfer contract or an associated document; or

 (ii) in respect of anything done, or purported to be done, under a pre‑transfer contract or an associated document;

  become rights of the acquirer without any conveyance, transfer or assignment; and

 (c) any liabilities of the Commonwealth:

 (i) under a pre‑transfer contract or an associated document; or

 (ii) in respect of anything done, or purported to be done, under a pre‑transfer contract or an associated document;

  become liabilities of the acquirer without any conveyance, transfer or assignment; and

 (d) the acquirer becomes the successor in law in relation to the pre‑transfer contracts, associated documents, rights and liabilities.

7  Certain instruments to continue in force

Pre‑transfer contracts

 (1) On and after the vesting day, each pre‑transfer contract continues to have effect according to its terms. However, each reference in a pre‑transfer contract to the Housing Loans Insurance Corporation is taken (except in relation to matters that occurred before the vesting day) to be a reference to the acquirer.

Relevant legislative instruments

 (2) On and after the vesting day, each relevant legislative instrument continues to have effect according to its terms. However each reference in a relevant legislative instrument to the Housing Loans Insurance Corporation is taken (except in relation to matters that occurred before the vesting day) to be a reference to the following:

 (a) if the regulations specify that the reference is taken to be a reference to a particular person—the person;

 (b) otherwise—the Commonwealth.

8  Exemption from stamp duty and other State or Territory taxes

 (1) No stamp duty or other tax is payable under a law of a State or a Territory in respect of an exempt matter, or anything connected with an exempt matter.

 (2) The Minister may certify in writing:

 (a) that a specified matter is an exempt matter; or

 (b) that a specified thing was connected with a specified exempt matter.

 (3) In all courts, and for all purposes (other than for the purposes of criminal proceedings), a certificate made under subsection (2) is prima facie evidence of the matters stated in the certificate.

 (4) A document that appears to be a certificate made under subsection (2):

 (a) is taken to be such a certificate; and

 (b) is taken to have been properly given;

unless the contrary is established.


Part 4—Other matters

 

9  Appropriation

 (1) There is to be paid to the acquirer such amounts that the Commonwealth agrees to pay to the acquirer under an agreement between the Commonwealth and the acquirer that comes into effect on the vesting day.

 (2) The amounts payable under subsection (1) are to be paid out of the Consolidated Revenue Fund, which is appropriated accordingly.

10  Delegation

 (1) The Minister may, by writing, delegate all or any of his or her powers and functions under sections 5 and 8 of this Act to:

 (a) the Secretary of the Department; or

 (b) an SES employee, or acting SES employee, in the Department.

 (2) In exercising powers or functions under a delegation, the delegate must comply with any directions of the Minister.

11  Regulations

 (1) The Governor‑General may make regulations prescribing matters:

 (a) required or permitted by this Act to be prescribed; or

 (b) necessary or convenient to be prescribed for carrying out or giving effect to this Act.

 (2) In particular, regulations may be made prescribing matters of a transitional nature (including prescribing any saving or application provisions) relating to the enactment of this Act and the repeal of the Housing Loans Insurance Corporation (Transfer of Assets and Abolition) Act 1996.

 

 

[Minister’s second reading speech made in—

House of Representatives on 13 September 2006

Senate on 11 October 2006]

(121/06)

 

Overview

The Housing Loans Insurance Corporation (Transfer of Pre-transfer Contracts) Act 2006 was enacted by the Parliament of Australia to address the issue of transferring pre-transfer contracts, associated documents, and related rights and liabilities from the Commonwealth to a specified acquirer. The primary objective of this Act is to facilitate the smooth transition of these assets and liabilities, ensuring continuity in their management and enforcement. The Act allows the Minister to declare a vesting day, after which the specified acquirer assumes ownership of the pre-transfer contracts and associated documents, along with the corresponding rights and liabilities, without the need for any formal conveyance or assignment. Additionally, the Act ensures that the pre-transfer contracts and relevant legislative instruments continue to operate effectively, with appropriate modifications to reflect the change in ownership. This legislation also provides for the exemption of the transfer process from stamp duty and other state or territory taxes, subject to certification by the Minister. The Act includes provisions for delegation of certain powers and functions to facilitate the administrative process, and it allows for the making of regulations to address transitional matters arising from the enactment of this Act and the repeal of the Housing Loans Insurance Corporation (Transfer of Assets and Abolition) Act 1996.

Scope and Application

The Housing Loans Insurance Corporation (Transfer of Pre-transfer Contracts) Act 2006 is an Australian Commonwealth Act designed to facilitate the transfer of certain insurance contracts, associated documents, and related rights and liabilities from the Commonwealth to a specified acquirer. This Act applies to the transfer of pre-transfer contracts, which are defined as contracts of insurance that were vested in the Commonwealth under the Housing Loans Insurance Corporation (Transfer of Assets and Abolition) Act 1996. The Act binds the Crown in right of the Commonwealth, the States, the Australian Capital Territory, the Northern Territory, and Norfolk Island, ensuring comprehensive coverage across jurisdictions. The Minister has the authority to declare a vesting day and specify the acquirer through a written instrument, which must be published in the Gazette, although non-compliance with this publication requirement does not affect the instrument's validity. The Act exempts certain matters from stamp duty and other State or Territory taxes, with the Minister able to provide certification of these exemptions. Furthermore, the Act allows for the continuation of relevant legislative instruments and pre-transfer contracts post-transfer, with appropriate adjustments to references from the Housing Loans Insurance Corporation to the acquirer. The Act also includes provisions for financial appropriations, delegation of powers, and the making of regulations to address transitional matters.

Key Provisions

The Housing Loans Insurance Corporation (Transfer of Pre-transfer Contracts) Act 2006 (sections 1 to 11) establishes the framework for the transfer of pre-transfer contracts and related documents from the Commonwealth to a specified acquirer. The act commences on the day after receiving Royal Assent, as stated in section 2. It binds the Crown in right of the Commonwealth, the states, the Australian Capital Territory, the Northern Territory, and Norfolk Island (section 4). The primary objective of this act is to transfer pre-transfer contracts, associated documents, and certain related rights and liabilities from the Commonwealth to a designated acquirer. The Minister has the authority to declare a specific day as the vesting day and designate a person as the acquirer under section 5. This declaration must be made in writing and published in the Gazette, though failure to do so does not affect the validity of the declaration. The act specifies that on the vesting day, all pre-transfer contracts and associated documents cease to be assets of the Commonwealth and become assets of the acquirer, with all related rights and liabilities also transferring to the acquirer without any conveyance, transfer, or assignment (section 6). These pre-transfer contracts and relevant legislative instruments continue to have effect according to their terms, with references to the Housing Loans Insurance Corporation being interpreted as references to the acquirer (section 7). The act imposes specific obligations on the parties involved. The Minister must declare the vesting day and the acquirer, ensuring that these declarations are published in the Gazette (section 5). The Minister is also empowered to certify that certain matters are exempt from stamp duty and other state or territory taxes, with such certification being prima facie evidence in courts (section 8). The act further mandates that amounts agreed upon by the Commonwealth and the acquirer be paid to the acquirer from the Consolidated Revenue Fund (section 9). The act delineates several offences and penalties for breaches. The Minister's power to delegate functions to the Secretary of the Department or an SES employee is subject to compliance with any directions from the Minister (section 10). Additionally, regulations may be made under section 11 to prescribe matters necessary for the implementation of the act, including transitional provisions related to the repeal of the Housing Loans Insurance Corporation (Transfer of Assets and Abolition) Act 1996. However, the act does not explicitly state penalties for breaches of its provisions, leaving the interpretation of such consequences to the relevant authorities and courts.

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.