Western Australia: Credit Act 1984 (WA)

Western Australia Credit Act 1984 Western Australia Credit Act 1984 Contents Part I — Preliminary 1. Short title 1 2. Commencement 1 3. Application of Act and transitional provisions 1 4. Act binds Crown 1 5. Terms used 1 6. Jurisdiction of courts and Tribunal 1 7. Credit contracts deemed to be regulated contracts 1 8. Act applies to assignees etc. of rights and obligations 1 9. Contracts of employment excluded 1 10. Term used: annual percentage rate 1 11. Terms used: credit charge, accrued credit charge 1 12. Terms used: tied loan contract, tied continuing credit contract 1 13. Some contracts for hire of goods deemed credit sale contracts 1 14. Contracts that are not credit sale contracts 1 15. Some credit excluded from being credit in relation to loan contracts 1 16. Business of providing credit, meaning of 1 17. Recognised States 1 18. Exceptions from application of Act 1 19. Excluding and varying operation of Act 1 19A. Act not to apply to some credit contracts made on or after 1 Nov 1996 1 19B. Act to continue to apply to some acts etc. done before 1 Nov 1996 1 Part II — Contracts of sale 20. Application of Part 1 21. Buyer may rescind contract of sale in some cases 1 22. Supplier not to require buyer to obtain credit from specified person 1 23. Rescission etc. of certain contracts, consequences of 1 24. Supplier and linked credit provider, liability of 1 25. Rescission etc. of contract of sale, consequences of for a tied loan contract, mortgage etc. 1 26. Rescission of contract of sale, consequences of for any mortgage related to tied continuing credit contract etc. 1 27. Operation of s. 25 and 26 1 28. Disputes as to operation of s. 23, 25 or 26, court's powers as to 1 29. Supplier to notify linked credit provider of rescission etc. 1 Part III — Regulated contracts Division 1 — Credit sale contracts and loan contracts 30. Application of Part 1 31. Contracts to be in writing 1 32. Form of offer to enter into contract 1 33. Credit provider to give offeror notice of acceptance etc. 1 34. Credit provider to give debtor prescribed statement 1 35. Credit sale contracts, content of 1 36. Loan contracts, content of 1 37. Credit sale contracts that consolidate amounts due under other such contracts, content and rescission of 1 38. Annual percentage rate in contracts 1 39. Annual percentage rates for loan contracts secured by land mortgage 1 40. More than one rate of interest in contract etc. not permitted in contracts 1 41. Variation of contracts ineffective without notice 1 42. Breach of s. 31, 35, 36, 38, 39, 40(1) or 91(1), effect of 1 43. Credit provider not to enter contract that does not comply with this Division 1 44. Minimum credit charge, restrictions as to 1 45. Credit provider, on request, to give debtor etc. statement of payments etc. 1 46. Credit provider, on request, to give debtor etc. copy of some documents 1 47. Tribunal may determine reasonable legal fees etc. 1 Division 2 — Continuing credit contracts 48. Interpretation 1 49. Application of Part 1 50. Billing cycle, meaning and maximum period of 1 51. Payment of supplier by credit provider on behalf of debtor 1 52. Chargeable amount for billing cycle, meaning and maximum of 1 53. Amount payable under contract, restrictions as to 1 54. Credit charge for billing cycle, meaning and maximum of 1 55. Annual percentage rates for contracts 1 56. Billing cycle less than one month 1 57. Non‑business days 1 58. Credit provider to give debtor prescribed statement 1 59. Credit provider to give debtor certain information 1 60. Variation of contracts ineffective without notice 1 61. Credit provider to give debtor statement of account as per Sch. 7 1 62. Billing errors, notice, effect and correction of 1 63. Credit provider to give debtor request for payment etc. before starting recovery proceedings 1 64. Statement of account not to include opening balance in some circumstances 1 65. Statement of account not needed in some circumstances 1 66. Credit provider to pay amounts owed to debtor upon request 1 67. Breach of s. 3(4), 59, 61, 91(1) etc., effect of 1 68. Credit provider, on request, to give debtor etc. copy of notice given under s. 3(4), 59 or 60 1 Division 3 — Operation of regulated contracts 69. Re‑financing of credit contracts, credit provider to give debtor certain information 1 70. Varying credit sale contracts and loan contracts 1 71. Agreed deferrals of payments, charges for 1 72. Defaults, charges for 1 73. Varied contracts continue to be regulated contracts 1 74. Varying contracts due to illness etc. of debtor 1 Division 4 — General 75. Unauthorised fees, provisions in contracts as to 1 76. Enforcement expenses, provisions in contracts as to 1 77. Negating etc. right to revoke offer to enter into contract, provisions in contracts as to 1 78. Annual percentage rate, statement of in case of pre‑determined credit charge 1 79. Estimated credit charge, statement of 1 80. Difference between pre‑determined or estimated credit charge and calculated credit charge, liability of debtor in case of 1 81. Credit provider etc., assignment of rights by 1 82. Payments by credit provider to be in cash and in full 1 83. Application of payments received by credit provider 1 84. Appropriation of payments between 2 or more contracts 1 85. Tribunal may reduce credit provider's loss due to breach of law 1 85A. Declaration by Tribunal that debtor not liable due to s. 42 or 67 1 85B. Stay of civil penalty under s. 42 or 67 pending decision of s. 85 application 1 86. Declaration under s. 85 as to 2 or more contracts 1 86A. Contracts with minor errors etc. may be deemed to comply with Act 1 87. Reduction in debtor's liability due to Act, effect of 1 88. Court may dismiss charges of offences under s. 3(4), 43, 59, 61 or 64 in some cases 1 Part IV — Regulated mortgages Division 1 — General 89. Term used: mortgage 1 90. Mortgagee's obligations not to exceed contract's obligations 1 91. Mortgage of goods to be in writing 1 92. Debtor entitled to copy of mortgage 1 93. Enforcement expenses, provisions in mortgages as to 1 94. Entry of premises by mortgagee, provisions in mortgages as to 1 95. Court order needed before entry for repossession 1 96. Location of goods, mortgagor may be required to disclose 1 97. Time and place for delivery of goods, court may determine 1 98. Blanket securities over property or assets prohibited 1 99. Agreement to mortgage future property, provisions in mortgage as to 1 100. Mortgages of goods, provisions in continuing credit contracts as to 1 101. Assignment etc. of mortgaged property to defraud mortgagee 1 Division 2 — Assignment, etc., of property 102. Assignment by mortgagor 1 Part V — Termination and enforcement of regulated contracts and regulated mortgages 103. Net balance due, calculation of 1 104. Net balance due, credit provider to state on request 1 105. Early termination of contract by debtor 1 106. Mortgagor may require mortgagee to sell mortgaged goods 1 107. Rights of credit provider or mortgagee, restrictions on exercising 1 108. Proceedings prohibited if s. 107 notice complied with 1 109. Limit on amount recoverable 1 110. Mortgagee's powers, restrictions on exercising 1 111. Court may order delivery of goods to mortgagee 1 112. Mortgagee in possession of goods, restrictions on power to sell etc. 1 113. Mortgagor's right to redeem goods in mortgagee's possession 1 114. Sale of goods by mortgagee, application of proceeds etc. 1 115. Farm machinery etc., court may suspend repossession or restore possession of 1 116. Negotiated postponement of exercise of rights of credit provider or mortgagee 1 Part VI — Regulated contracts and regulated mortgages — general 117. False etc. representations, offences as to etc. 1 118. Court may approve removal of mortgaged goods 1 119. Assignment of wages etc., provisions as to in contracts etc. 1 120. Bills of exchange etc. as security for credit provider 1 121. Advertisements offering credit 1 122. Canvassing offers to provide credit 1 123. Terms of contracts etc., regulations may prescribe 1 124. Agents of debtors etc., agreements etc. as to 1 125. Contract or mortgage not illegal etc. by reason of offence 1 126. Notices to be given to each of 2 or more debtors etc. 1 Part VII — Contracts of insurance 127. Insurance for regulated contracts 1 128. Insurance for regulated mortgages 1 129. Unrequired insurance, provisions as to maintenance of in contracts etc. 1 130. Contracts of insurance, content of etc. 1 131. Premiums to be paid to insurer 1 132. Rejection of insurance proposals, insurers' duties on 1 133. No‑claim bonus, debtor etc. entitled to 1 134. Insurance contracts not void etc. in some cases 1 135. Exclusion clauses, effect of in some cases 1 Part VIII — Contracts of guarantee 136. Guarantees to be in writing etc. 1 137. Guarantor's liability, extent of 1 138. Proceedings against guarantor 1 139. Varying guarantees as to regulated contracts due to illness etc. of guarantor 1 140. Minors, guarantee for 1 141. Credit provider to give guarantor copy of guarantee 1 142. Credit provider to give guarantor prescribed statement 1 143. Discharge of guarantee by guarantor 1 144. Revocation of offer to guarantee, provisions in agreements as to 1 Part IX — Re‑opening of contracts 145. Unjust contracts and mortgages, meaning of 1 146. Tribunal may re‑open transactions for unjust contracts etc. 1 147. Determining if contract etc. is unjust, matters to be considered by Tribunal 1 148. Joinder of parties 1 149. Limitation on re‑opening transactions 1 Part X — General 150. Assigning interests under wills etc. to credit providers 1 151. Legibility of documents 1 152. Tribunal may prohibit use of illegible etc. documents 1 153. Tribunal may determine document is readily legible etc. 1 154. Illegible etc. documents, use of 1 155. Separation of documents 1 156. Signatures on documents by agents 1 157. Contracting‑out of Act prohibited 1 158. General penalty 1 159. Offences, time limit for prosecuting 1 160. Directors etc. of corporations, liability of 1 161. Rights etc. under other laws saved 1 162. Time, computing 1 163. Court's powers to extend time, exercise of 1 164. Service of documents 1 165. Service by post 1 167. Regulations 1 Part XA — Transitional 167A. Non‑disclosures etc. before 11 Jan 1993 about insurance commission charges, effect of 1 167B. Amendments in 1992 as to description of consumer credit insurance, operation of 1 Part XI — Miscellaneous 168. Notices required by mortgagee under other Acts 1 169. Land sales, application of Part II to etc. 1 170. Commissioner may fix maximum annual percentage rates 1 Schedule 1 — Accrued credit charge Schedule 2 — Statement of amount financed in relation to credit sale contract Schedule 3 — Statement of credit charge in relation to credit sale contract Schedule 4 — Statement of amount financed in relation to loan contract Schedule 5 — Statement of credit charge in relation to loan contract Schedule 6 — Annual percentage rate Schedule 7 — Statement of account in relation to continuing credit contract Notes Compilation table 1 Other notes 1 Defined terms Western Australia Credit Act 1984 An Act relating to the provision of credit. Part I — Preliminary 1. Short title This Act may be cited as the Credit Act 1984. 2. Commencement The provisions of this Act shall come into operation on such day or days as is or are respectively fixed by proclamation. 3. Application of Act and transitional provisions (1) Except as otherwise expressly provided in or under this Act, this Act applies (notwithstanding anything to the contrary in any other Act or law) to and in respect of a contract of sale, credit contract or mortgage — (a) if the contract of sale, credit contract or mortgage is in writing and is signed in Western Australia by the buyer, debtor or mortgagor; or (b) where the contract of sale, credit contract or mortgage is not in writing or is in writing but is not signed by the buyer, debtor or mortgagor in Western Australia or in a recognised State — (i) in the case of a contract of sale, if the goods or services are, or are to be, delivered or supplied in Western Australia; or (ii) in the case of a credit contract if the credit is, or is to be, provided to the debtor in Western Australia or the debtor has, or is to have, the use or benefit of the credit in Western Australia; or (iii) in the case of a mortgage, if property subject to the mortgage is at the date of creation of the mortgage situated in Western Australia. (2) Subject to subsection (3), a provision of this Act that relates to a contract of sale, credit contract, mortgage or contract for the hiring of goods, does not apply to or in relation to a contract of sale, credit contract, mortgage or contract for the hiring of goods, as the case may be, made before the commencement of the provision. (3) This Act (except sections 58, 59 and 67(1)(c) and Parts II, VII, VIII and IX) applies to and in relation to a continuing credit contract made before the commencement of Part III that, if it had been made after that commencement, would have been a continuing credit contract to which that Part applies but nothing in this Act applies to or in relation to a billing cycle that commenced before the commencement of that Part. (4) Where, by reason of subsection (3), this Act (except sections 58, 59 and 67(1)(c) and Parts II, VII, VIII and IX) applies to and in relation to a continuing credit contract, the credit provider shall, when he first gives a statement of account referred to in section 61 after the commencement of Part III, give to the debtor a statement in accordance with section 58 and a notice stating the matters required to be stated in a notice under section 59. Penalty: $1 000. 4. Act binds Crown (1) Except where otherwise expressly provided by this Act, this Act binds the Crown not only in right of Western Australia but also, so far as the legislative power of Parliament permits, the Crown in all its other capacities. (2) This Act applies to and in respect of the Crown in any of its capacities to the same extent as if the Crown were, in that capacity, a body corporate. 5. Terms used (1) In this Act, unless the contrary intention appears — acceptable rate of interest, in relation to a loan contract or a continuing credit contract, means an annual percentage rate that the credit provider agrees to accept so long as the debtor duly observes and performs the terms of the contract; account charge, in relation to a continuing credit contract, means — (a) in relation to the period of 12 months after the contract is made — the sum (not exceeding $100 or, where some other amount is prescribed, that other amount) of — (i) any amount that, under the contract, is payable by the debtor to the credit provider as the fixed fee or other charge for entering into the contract; and (ii) any amount that, under the contract, is payable by the debtor to the credit provider as the fixed annual fee or other annual charge in respect of that period; or (b) in relation to any other period of 12 months — any amount (not exceeding $50 or, where some other amount is prescribed, that other amount) that, under the contract, is payable by the debtor to the credit provider as the fixed annual fee or other annual charge in respect of that period; accrued credit charge, in relation to a credit sale contract or a loan contract at a particular time, means — (a) the minimum credit charge; or (b) the amount of any credit charge which, under the contract, has accrued at that time calculated as provided in section 11, whichever is the greater; actuarial method, in relation to a calculation for the purposes of a credit sale contract or a loan contract, means the method under which — (a) it is assumed that all payments by the debtor under the contract will be made on the respective dates on which they fall due and that credit will be provided at the time or times determined under the contract; and (b) payments by the debtor under the contract are allocated between the amount of the credit charge and the amount financed so that each payment is applied first to the accrued credit charge at the date on which the payment is due and — (i) if the amount of the payment is greater than the amount of the accrued credit charge on the date on which the payment is made, the remaining amount of the payment is applied to the unpaid balance of the amount financed; or (ii) if the amount of the payment is less than the amount of the accrued credit charge on the date on which the payment is made, the amount of the difference between the payment and the accrued credit charge is added to the unpaid balance of the amount financed; amount financed means — (a) in relation to a regulated credit sale contract — the sum of the balance of the cash price required to be stated in accordance with clause 1(c) of Schedule 2 and the total of the amounts required to be stated in accordance with clause 1(d) to clause 1(i) of Schedule 2; or (b) in relation to any other credit sale contract — the sum of the cash price (less the deposit, if any) and amounts payable under the contract by the debtor to the credit provider that, if the contract were a regulated credit sale contract, would be required to be stated in accordance with clause 1(d) to clause 1(i) of Schedule 2; or (c) in relation to a regulated loan contract — the sum of the amounts required to be stated in accordance with clause 1 of Schedule 4; or (d) in relation to any other loan contract the sum of the amount agreed under the contract to be lent and amounts payable under the contract by the debtor to the credit provider that, if the contract were a regulated loan contract, would be required to be stated in accordance with clause 1(b) to clause 1(f) of Schedule 4; annual percentage rate means annual percentage rate within the meaning of section 10; bank means — (a) an ADI (authorised deposit‑taking institution) as defined in section 5 of the Banking Act 1959 of the Commonwealth; or (b) a bank constituted by a law of a State, a Territory or the Commonwealth; billing cycle means billing cycle as referred to in section 50; body corporate does not, except in the case of a credit provider that is a body corporate, include — (a) a strata company under the Strata Titles Act 1985; or (aa) a community corporation under the Community Titles Act 2018; or (b) a company owning an interest in land and having a memorandum or articles of association conferring on owners of shares in the company the right to occupy certain parts of a building erected on that land, all or the majority of which lots or parts, as the case may be, are intended to be occupied as dwellings; cash includes cheques; cash price, in relation to a contract of sale of, or credit sale contract relating to, goods or services — (a) unless the contract is one to which paragraph (b), (c) or (d) applies — means the price payable under the contract for the goods or services; or (b) where, under the contract, credit for the payment for the goods or services is, or is to be, provided by the supplier or by a linked credit provider of the supplier and, at the time at which the contract is made, the goods or services are available for purchase from the supplier for cash — means the lowest price at which at that time the buyer might have bought the goods or services from the supplier for cash; or (c) where, under the contract, credit for the payment for the goods or services is, or is to be, provided by the supplier or by a linked credit provider of the supplier and, at the time at which the contract is made, the goods or services are reasonably available for purchase for cash but are not available for purchase from the supplier for cash — means the price at which at that time the buyer might reasonably have bought goods or services of that kind for cash; or (d) where, under the contract, credit for the payment for the goods or services is, or is to be, provided by the supplier or by a linked credit provider of the supplier and, at the time at which the contract is made, the goods or services are not reasonably available for purchase for cash — means the amount that is — (i) in the case of a sale of goods, the reasonable value of the goods at that time; or (ii) in the case of a sale of services, the reasonable value at that time of the services (whether or not they have been supplied); or (iii) in the case of a contract of sale that is a contract of sale of both goods and services, the sum of the reasonable value of the goods at that time and the reasonable value at that time of the services (whether or not they have been supplied); or (e) where some other price is prescribed in relation to the contract — means that price; commercial vehicle means — (a) a motor vehicle as defined in the Road Traffic (Administration) Act 2008 section 4, constructed or adapted principally for the carriage of goods but does not, include a motor vehicle of the kind known as a utility, a station wagon or a panel van; or (b) a vehicle without motive power of its own and constructed or adapted principally for the carriage of goods and for being drawn by a motor vehicle within the meaning of that Act; commission charge, in relation to a regulated credit sale contract or a regulated loan contract, means an amount paid or payable (whether directly or indirectly and whether or not pursuant to an agreement or undertaking) by way of commission or as a payment in the nature of a commission (however described) being an amount — (a) that is paid or payable in respect of the introduction of the debtor to the credit provider and paid or payable by the credit provider or the spouse or de facto partner of the credit provider or, where the credit provider is a body corporate the credit provider or any other corporation that is a related body corporate of the credit provider for the purposes of the Corporations Act 2001 of the Commonwealth; or (b) that is paid or payable in connection with a contract — (i) that is connected with the regulated credit sale contract or regulated loan contract; and (ii) the consideration for which is wholly or partly included within the amount financed; Commissioner has the meaning given by section 4 of the Credit (Administration) Act 1984; compulsory insurance, in relation to goods, means any insurance in relation to liability in respect of death or bodily injury caused by or arising out of the use of the goods, being insurance required by the law of the place where the goods are or are being or are to be used; continuing credit contract means a continuing credit contract within the meaning of section 48; contract for the hiring of goods includes a contract for the lease of goods or for the grant of a licence to use goods and any other contract for the bailment of goods; credit includes any form of financial accommodation other than — (a) credit provided to a debtor, for the purposes of a business carried on by him, by — (i) a documentary letter of credit; or (ii) discounting, or becoming a party to or the holder of, a bill of exchange or other negotiable instrument; or (iii) becoming surety for a debtor; or (b) credit provided for the purchase of goods for re‑supply; or (c) credit provided for the purchase of goods that — (i) are raw materials; or (ii) are ordinarily acquired for the purpose of treating or repairing other goods or fixtures on land or of being incorporated in other goods, for the purposes of transforming them, or incorporating them in other goods — (iii) in trade or commerce; or (iv) in the course of a process of production or manufacture; or (v) in the course of repairing or treating other goods or fixtures on land; or (d) credit provided for the purchase of services, where the buyer has contracted to provide those services, or goods and services that include those services, to a third person; or (e) any transaction prescribed as being a transaction that is not credit within the meaning of this Act; credit charge means credit charge within the meaning of section 11(1); credit contract means — (a) a credit sale contract; or (b) a loan contract; or (c) a continuing credit contract; credit provider means — (a) in relation to a credit contract, the person providing credit under the contract in the course of a business carried on by him; or (b) in relation to a proposed credit contract, the person by whom credit is to be provided under the contract in the course of a business carried on by him; credit sale contract means, subject to sections 13 and 14, a contract of sale of goods or services where in respect of the payment for the goods or services credit is, or is to be, provided to a debtor, being a buyer but not being a body corporate, by a supplier in the course of a business carried on by the supplier and, under the contract — (a) a charge is made for the provision of credit; or (b) the amount payable by the debtor is not required to be paid within the period of 4 months after credit is provided under the contract; or (c) the amount payable by the debtor may be paid by 5 or more instalments or by a deposit and 4 or more instalments, but does not include any contract of a class or description of contracts prescribed as being credit sale contracts that are not credit sale contracts within the meaning of this Act; cross‑claim includes counter‑claim, set‑off and third party claim; daily percentage rate, in relation to a credit sale contract or a loan contract, means the rate determined by dividing the annual percentage rate under the contract by 365; debtor means — (a) in relation to a credit contract, the person to whom credit is provided under the contract; or (b) in relation to a proposed credit contract, the person to whom credit is to be provided under the contract; default charge means — (a) in relation to a regulated credit sale contract or a regulated loan contract, a charge made by a credit, provider in accordance with section 72; or (b) in relation to any other credit contract, an amount payable under the contract by the debtor by reason of his failure to fulfil his obligations under the contract, other than an amount payable under the contract otherwise than by reason of that failure; deferral charge means — (a) in relation to a regulated credit sale contract or a regulated loan contract, a charge made by a credit provider in respect of the deferral of the payment of an amount in accordance with section 71; or (b) in relation to any other credit sale contract or loan contract, a charge made by a credit provider in respect of the deferral of the payment of an amount payable under the contract by the debtor; Department has the meaning given by section 4 of the Credit (Administration) Act 1984; deposit means — (a) in relation to a credit sale contract relating to goods — an amount that, under the contract, was paid or payable by the buyer to the supplier on or before the delivery of the goods or, where the delivery is not completed on one day, on or before the commencement of the delivery; or (b) in relation to a credit sale contract relating to services — an amount that, under the contract, was paid or payable by the buyer to the supplier on or before the commencement of the supply of the services; or (c) in relation to a credit sale contract relating to goods and services — an amount that, under the contract, was paid or payable by the buyer to the supplier on or before the commencement of the delivery or supply of the goods and services, and, where there is a trade‑in allowance, includes the trade‑in allowance; determination, in relation to a court or the Tribunal, includes order, direction, decision and declaration; discharge, in relation to a contract, means discharge of the contract, so far as it is executory, otherwise than by frustration; enforcement expense means — (a) in relation to a regulated contract — an amount that, subject to section 76, the debtor is liable to pay to the credit provider in relation to the exercise of a right under the contract arising from the default of the debtor; or (b) in relation to a regulated mortgage — an amount that, subject to section 93, the mortgagor is liable to pay to the mortgagee in relation to the exercise of a right under the mortgage arising from the default of the mortgagor; or (c) in relation to any other credit contract or mortgage —an amount expended or the amount of a liability incurred by the credit provider or mortgagee under the contract or mortgage to remedy a default of the debtor or mortgagor or in the exercise of rights of the credit provider or mortgagee under the contract or mortgage arising by reason of the default; estimated credit charge, in relation to a credit sale contract or a loan contract under which the whole or a part of the credit charge is a credit charge other than a pre‑determined credit charge or a minimum credit charge, means the amount of that whole or part that, when the contract is made, is an amount that can be calculated — (a) on the assumption that all amounts payable under the contract are paid on the respective dates on which, under the contract, they are required to be paid; or (b) in accordance with an applicable method prescribed for the purposes of calculating estimated credit charges; exempt credit provider has the same meaning as it has in the Credit (Administration) Act 1984; farm machinery means — (a) a harvester, binder, tractor, plough or other agricultural implement; or (b) any other goods of a class commonly used for the purposes of a farming undertaking that are prescribed as being farm machinery for the purposes of this Act, where the goods are acquired for the purposes of a farming undertaking; farming undertaking includes — (a) any agricultural, agricultural, dairy farming, horticultural, orcharding, pastoral, poultry keeping, viticultural or other business involving the cultivation of the soil, the gathering of crops or the rearing of livestock; and (b) the business of taking fish, crustacea, oysters or any other marine, estuarine or fresh‑water animal life; and (c) the cutting of timber for sale; and (d) any class of business prescribed as a farming undertaking; goods includes — (a) all chattels personal other than things in action and money; and (b) fixtures severable from the realty; and (c) any present or future product of a farming undertaking, including any agricultural or horticultural produce, wool and the increase or progeny of stock, but does not include any goods of a class or description prescribed as being goods that are not goods within the meaning of this Act; guarantee includes indemnity; guarantor means a person who enters into a contract of guarantee in respect of the performance by a debtor or mortgagor of his obligations under a credit contract or mortgage or a person who enters into a contract of indemnity in relation to a credit contract or mortgage but does not include a body corporate or — (a) a person who is the supplier, or spouse or de facto partner of the supplier, of goods or services to which the contract or mortgage, relates or, where the supplier is a body corporate, any other corporation that is a related body corporate of the supplier for the purposes of the Corporations Act 2001 of the Commonwealth or a person who is a director or officer of the body corporate or of such a related corporation or who is the spouse or de facto partner of such a director or officer; or (b) a person who enters into a contract of guarantee or a contract of indemnity — (i) in respect of the obligations under a credit contract of a person who deals in goods or services of the kind to which the contract relates; or (ii) in respect of the obligations of a debtor under a loan contract made for the purposes of the acquisition of goods of a kind in which the debtor deals; instalment does not include a deposit; judgment includes order; land has the same meaning as it has in the Transfer of Land Act 1893; licensed credit provider means the holder of an Australian credit licence for the time being in force under the National Consumer Credit Protection Act 2009 (Commonwealth); linked credit provider, in relation to a supplier, means a credit provider — (a) with whom the supplier has a trade or tie agreement; or (b) to whom the supplier, by arrangement with the credit provider, regularly refers persons for the purpose of obtaining credit; or (c) whose forms of contract or forms of application or offers for credit are, by arrangement with the credit provider, made available to persons by the supplier; or (d) with whom the supplier has an agreement or arrangement, whether formal or informal, under which contracts or applications or offers for credit from the credit provider may be signed by persons at the premises of the supplier; loan contract, subject to section 15, means a contract under which a person in the course of a business carried on by him provides or agrees to provide, whether on one or more occasions, credit to another person, not being a body corporate, in one or more of the following ways — (a) by paying an amount to or in accordance with the instructions of that other person; (b) by applying an amount in satisfaction or reduction of an amount owed to him by that other person; (c) by varying the terms of a contract under which moneys owed to him by that other person are payable; (d) by deferring an obligation of that other person to pay an amount to him; (e) by taking from that other person a bill of exchange or other negotiable instrument on which that other person (whether alone or with another person or other persons) is liable as drawer, acceptor or endorser, but does not include any contract of a class or description of contracts prescribed as being loan contracts that are not loan contracts within the meaning of this Act; minimum credit charge, in relation to a credit sale contract or a loan contract, means the amount (if any) that, under the contract, is the minimum amount payable to the credit provider by the debtor under the contract as a credit charge; mortgage means an instrument or transaction by or under which a security interest is reserved or created or otherwise arises; officer, in relation to a body corporate, includes a person who is an officer of the body corporate for the purposes of the Corporations Act 2001 of the Commonwealth; pastoral finance company means a person carrying on a business of financing pastoral pursuits or a business of stock or station agents to whom an order in force under section 11 of the Banking Act 1959 of the Commonwealth as amended and in force for the time being applies; pre‑determined credit charge, in relation to a credit contract that specifies a fixed amount as the whole or part of the credit charge (not being a minimum credit charge), means that fixed amount; property includes any thing in action and any interest in real or personal property; recognised State means a State or Territory in respect of which a declaration referred to in section 17 is in force; record includes any book, account, document, paper or other source of information compiled, recorded or stored in written form, or on microfilm, or by electronic process, or in any other manner or by any other means; registration fees, in relation to goods, means an amount payable under the law of a State or Territory in connection with the registration or use of the goods including any amount payable for compulsory insurance; regulated continuing credit contract means a continuing credit contract to which Part III applies; regulated contract means a regulated credit sale contract, regulated loan contract or regulated continuing credit contract; regulated credit sale contract means a credit sale contract to which Part III applies; regulated loan contract means a loan contract to which Part III applies; regulated mortgage means a mortgage to which Part IV applies; rescission, in relation to a contract, means avoidance of the contract as from its beginning; security interest means an interest or power — (a) reserved in or over an interest in goods or other property; or (b) created or otherwise arising in or over an interest in goods or other property under a bill of sale, mortgage, charge, lien, pledge, trust or power, by way of security for the payment of a debt or other pecuniary obligation or the performance of any other obligation but does not include an interest or a power reserved, created or otherwise arising under a contract for the hiring of goods that is not by section 13 deemed to be a credit sale contract; services includes the rights and benefits that are, or are to be, supplied under — (a) a contract for or involving — (i) the performance of work (including work of a professional nature); or (ii) the provision of, or the use or enjoyment of, facilities for amusement, entertainment, recreation or instruction; or (b) a contract of insurance (including life assurance); or (c) a contract under which one person grants or confers, or purports to grant or confer, a franchise or other right, benefit or privilege to one or more other persons in consideration of the investment by that other person, or those other persons, of money and the performance by him or them of work associated with that investment, whether the contract is express or implied and, if it is express, whether it is oral or in writing and whether the services are supplied to order or by making them available to potential users, but does not include — (d) the provision of credit; or (e) any rights or benefits of a prescribed class or description that are prescribed as being rights or benefits that are not services within the meaning of this Act; or (f) any rights or benefits that are, or are to be, supplied under a contract of a prescribed class or description and are prescribed as being rights or benefits that are not services within the meaning of this Act; statutory rebate means — (a) in relation to insurance charges (other than prescribed insurance charges) included in the amount financed under a regulated contract, the sum of — (i) the amount of premium paid in respect of a period of the insurance contract not yet commenced; and (ii) 90% of the proportion of the amount of the premium for insurance paid in respect of the current period of the insurance contract attributable to the unexpired portion of that period consisting of whole months; and (b) in relation to prescribed insurance charges included in the amount financed under a regulated contract — the amount ascertained in the prescribed manner; and (c) in relation to maintenance charges included in the amount financed under a regulated contract in respect of maintenance of goods — the amount derived by multiplying the amount of maintenance charges by the number of whole months in the unexpired portion of the period for which maintenance is agreed to be provided and dividing the product so obtained by the number of whole months for which maintenance is agreed to be provided; supplier — (a) in relation to a contract of sale, credit sale contract or contract for the hiring of goods, means a person who supplies goods or services; or (b) in relation to a continuing credit contract, means a person who supplies goods or services or cash; supply includes — (a) in relation to goods, supply (including re‑supply within the meaning of subsection (2)) by way of sale or exchange; or (b) in relation to services, provide, grant or confer; tied continuing credit contract means tied continuing credit contract within the meaning of section 12(2); tied loan contract means tied loan contract within the meaning of section 12(1); trade‑in allowance, in relation to a contract of sale of goods or services, means an amount by which the cash price or amount payable under the contract is, or is to be, reduced in respect of an interest in property sold or transferred or agreed to be sold or transferred to the supplier or another person; trade or tie agreement, in relation to a credit provider and a supplier, means an agreement or arrangement, whether formal or informal, relating to — (a) the supply to the supplier of goods or services in which the supplier deals; or (b) the business of supplying goods or services carried on by the supplier; or (c) the provision of credit to purchasers in respect of the payment for goods or services supplied by the supplier; Tribunal means the State Administrative Tribunal. (2) In this Act, unless the contrary intention appears — (a) a reference to goods or services includes a reference to goods and services; and (b) a reference to the re‑supply of goods bought from a person includes a reference to — (i) a supply of the goods to another person in an altered form or condition; and (ii) a supply to another person of goods in which the first‑mentioned goods have been incorporated. (3) In this Act, unless the contrary intention appears, where a word or phrase is given a particular meaning, other parts of speech and grammatical forms of that word or phrase have corresponding meanings. (4) Where a regulation made for the purposes of this section — (a) prescribes an amount other than $20 000 as the monetary limit for the purposes of this Act, a reference in this Act (including this section) to $20 000 shall be construed as a reference to the amount so prescribed; or (b) prescribes an annual percentage rate other than 14% as the annual percentage rate for the purposes of this Act, a reference in this Act (including this section) to a rate of 14% shall be construed as a reference to the annual percentage rate so prescribed. [Section 5 amended: No. 57 of 1997 s. 39(10); No. 26 of 1999 s. 70(2); No. 10 of 2001 s. 53; No. 28 of 2003 s. 31; No. 55 of 2004 s. 173; No. 28 of 2006 s. 83; No. 14 of 2010 s. 36; No. 8 of 2012 s. 73; No. 30 of 2018 s. 129; No. 32 of 2018 s. 199.] 6. Jurisdiction of courts and Tribunal (1) In this Act, except in so far as the context or subject‑matter otherwise indicates or requires, a reference to a court in relation to any contract or other matter — (a) where proceedings in relation to the contract or matter have been instituted in, or are before, a court — is a reference to that court; or (b) where proceedings in relation to that contract or matter have been instituted in, or are before, the Tribunal — is a reference to the Tribunal; or (c) in any other case is a reference to — (i) the Tribunal; or (ii) the Magistrates Court. (2) Where a court and the Tribunal each have jurisdiction to determine the same matter, proceedings to determine the matter may be instituted before the court or the Tribunal but not before both. (3) Where proceedings are instituted in, or are before, a court in a matter for the determination of which the Tribunal and the court each have jurisdiction, the proceedings shall — (a) if all the parties to the proceedings so agree; or (b) if the court of its own motion or on the application of a party so directs, be transferred to the Tribunal in accordance with the rules of the Tribunal and shall continue before the Tribunal as if they had been instituted there. (4) Where proceedings are instituted in, or are before, the Tribunal in a matter for the determination of which the Tribunal and a court each have jurisdiction, the proceedings shall — (a) if all the parties so agree; or (b) if the Tribunal of its own motion or on the application of a party so directs, be transferred to the court in accordance with rules of the court or, if the court is not empowered to make those rules, as prescribed, and shall continue before the court as if they had been instituted there. [Section 6 amended: No. 59 of 2004 s. 141.] 7. Credit contracts deemed to be regulated contracts Where it is alleged in any proceeding under this Act or in any other proceeding in respect of a matter arising under this Act that — (a) a credit sale contract or a loan contract is a credit sale contract or loan contract to which Part III applies; or (b) a continuing credit contract is a continuing credit contract to which Part III applies, it shall be presumed, unless the contrary is established, that Part II applies to the credit sale contract or loan contract or that Part III applies to the continuing credit contract. 8. Act applies to assignees etc. of rights and obligations (1) This Act applies to a person to whom the rights and obligations of — (a) a credit provider under a credit contract; or (b) a debtor under a credit contract; or (c) a guarantor under a contract of guarantee; or (d) a credit provider under a contract of guarantee; or (e) a mortgagee; or (f) a mortgagor, have been assigned or transferred or have passed by operation of law in the same manner as this Act applies to the person by whom the rights and obligations were assigned or transferred or from whom the rights and obligations have passed by operation of law. (2) Nothing in subsection (1) operates to confer any rights under this Act on an assignee of a credit provider or mortgagee where the assignment is in contravention of this Act. (3) Subsection (1) does not apply where the rights and obligations referred to in subsection (1)(b), (c) or (f) are assigned or transferred, or pass by operation of law, to a body corporate. 9. Contracts of employment excluded A reference in this Act to a contract or agreement in respect of the payment by a debtor for services supplied by another person does not include a reference to a contract or agreement that is solely a contract of service that creates the relationship of master and servant between the debtor and that other person or by reason of which that other person would be a worker within the meaning of the Workers Compensation and Injury Management Act 2023. [Section 9 amended: No. 42 of 2004 s. 174; No. 21 of 2023 s. 709(2).] 10. Term used: annual percentage rate For the purposes of this Act, unless the contrary intention appears, a reference to the annual percentage rate — (a) in relation to a credit sale contract or a loan contract in respect of which the annual percentage rate has not been disclosed to the debtor or has been so disclosed otherwise than in accordance with section 38, is a reference to the lowest percentage rate per annum that can be determined in accordance with that section in relation to the contract; and (b) in relation to a credit sale contract or a loan contract under which the annual percentage rate has been disclosed in accordance with section 38, is a reference to the rate disclosed; and (c) in relation to a continuing credit contract, is a reference to the annual percentage rate within the meaning of section 55. 11. Terms used: credit charge, accrued credit charge (1) For the purposes of this Act, a reference to a credit charge — (a) in relation to a credit sale contract or a loan contract is a reference to the amount by which the amount payable under the contract by the debtor to the credit provider or a person on his behalf (not including amounts of deferral charges, default charges or enforcement expenses) exceeds the amount financed; and (b) in relation to a billing cycle of a continuing credit contract, is a reference to a credit charge within the meaning of section 54. (2) For the purposes of the definition of accrued credit charge in relation to a credit sale contract or a loan contract, the amount of the credit charge which has accrued at a particular time may be calculated — (a) by adding together the amounts ascertained by applying the daily percentage rate to the unpaid daily balances (being daily balances before that time) — (i) in the case of a credit sale contract — of the amount financed; or (ii) in the case of a loan contract — of the amount financed other than any part of the amount agreed under the contract to be lent that has not been lent at that time; or (b) where Schedule 1 applies to the credit sale contract or loan contract — in accordance with the formula set out in that Schedule; or (c) where an applicable method is prescribed for the purposes of this subsection — in accordance with that method. (3) In calculating the amount of a credit charge which has accrued under a credit sale contract or a loan contract, the credit provider may, if he so determines, apply a percentage rate per annum that is lower than the annual percentage rate disclosed under the contract. 12. Terms used: tied loan contract, tied continuing credit contract (1) For the purposes of this Act, a loan contract is a tied loan contract where the credit provider enters into the loan contract with a person who is a buyer of goods or services supplied by a supplier and — (a) the credit provider knows or ought reasonably to know that the buyer enters into the loan contract wholly or partly for the purposes of payment for the goods or services; and (b) at the time the loan contract is entered into the credit provider is a linked credit provider of the supplier. (2) For the purposes of this Act, a continuing credit contract is a tied continuing credit contract where the credit provider provides credit under the continuing credit contract in respect of the payment by the debtor for goods or services supplied by a supplier in relation to whom the credit provider is a linked credit provider. 13. Some contracts for hire of goods deemed credit sale contracts (1) A contract for the hiring of goods shall be deemed to be a credit sale contract if — (a) the cash price of the goods at the time when the contract for the hiring is made is not more than $20 000 or the goods are, or include, a commercial vehicle or farm machinery in relation to which the cash price is more than $20 000; and (b) under the contract the person to whom the goods are hired has a right, obligation or option to purchase the goods. (2) A contract for the hiring of goods shall be deemed to be a credit sale contract if the cash price of the goods at the time the contract is made is not more than $20 000 or the goods are a commercial vehicle or farm machinery and — (a) the contract provides, or it is reasonably likely having regard to the nature of the goods that the goods are, or are to be, affixed to land or to other goods and the goods are not, or when so affixed would not be, reasonably capable of being re‑delivered to the supplier; or (b) before the contract is made, the supplier — (i) acts in such a manner that the person to whom the goods are hired ought reasonably to infer that the supplier is willing, whether during or within a reasonable time after the period during which the contract is in force, to negotiate the sale to him of the goods or of goods of a value and description similar to the value and description of the goods to which the contract relates (being a value and description as at the time the contract is made); and (ii) expects, or in the circumstances ought reasonably to expect, that the person to whom the goods are hired will negotiate the purchase by him of the goods or of goods of such a similar value and description; or (c) before the contract is made, it is agreed that the person to whom the goods are hired may continue the contract for a nominal consideration for a period that exceeds, or for 2 or more periods that together exceed, the period of 2 years after the expiration of the original term of the contract for the hiring. (3) Where a contract for the hiring of goods is by this section deemed to be a credit sale contract — (a) the person from whom the goods are hired is the credit provider under the credit sale contract; and (b) the person to whom the goods are hired is the debtor under the credit sale contract; and (c) the cash price of the goods for the purposes of the credit sale contract is the cash price in relation to the contract for the hiring; and (d) the instalments payable under the contract for the hiring are instalments payable under the credit sale contract; and (e) the property of the supplier in the goods passes under the contract to the person to whom the goods are hired upon delivery of the goods or the making of the contract whichever last occurs; and (f) a mortgage containing the prescribed terms and conditions shall be deemed to have been entered into in writing between the person to whom the goods are hired and the supplier as security for payment to the supplier of the amount payable to him by the person to whom the goods are hired under the contract; and (g) any provision in the contract for hiring by virtue of which the supplier is empowered to take possession, or dispose of, the goods to which the contract relates is void. (4) Subsection (2) does not apply to a contract for the hiring of goods that are or might reasonably be expected to be used by the person to whom they are hired for the purpose of a business carried on by him or by him and another person or other persons, where the whole or the greater part of the amount payable under the contract is, or might reasonably be expected to be, a loss or outgoing necessarily incurred in carrying on the business. (5) In this section — (a) a reference to a contract for the hiring of goods does not include — (i) a reference to a contract for the hiring of goods to a body corporate; or (ii) a reference to a contract for the hiring of goods to the extent that the financial accommodation provided in relation to the goods is not credit within the meaning of this Act; and (b) cash price, in relation to a contract for the hiring of goods — (i) where at the time the contract is made the goods are available for purchase for cash from the person from whom the goods are hired — means the lowest price at which the person to whom the goods are hired might have bought the goods from the first‑mentioned person for cash; or (ii) where at the time the contract is made the goods are reasonably available for purchase for cash but are not reasonably available for purchase for cash from the person from whom the goods are hired — means the price at which, at that time, the person to whom the goods are hired might reasonably have bought goods of that kind for cash; or (iii) where at the time the contract is made the goods are not reasonably available for purchase for cash — means the amount that is the reasonable value of the goods at that time. 14. Contracts that are not credit sale contracts (1) For the purposes of this Act, a reference to a credit sale contract does not include — (a) a reference to a contract of sale of goods or services in respect of the payment for which credit is, or is to be, provided under a continuing credit contract; or (b) a reference to a lay‑by sale within the meaning of subsection (2). (2) A reference in subsection (1) to a lay‑by sale is a reference to a sale of goods, or an agreement to sell goods, under conditions, express or implied, which provide that — (a) any of the goods sold or agreed to be sold will not be delivered to the purchaser until the purchase price is paid for the goods to be delivered, whether or not any charge is expressed to be payable for storage of the goods; and (b) the purchase price or, where a deposit is paid, the balance of the purchase price — (i) is to be payable by instalments (whether the number of instalments or the amount of all or any of the instalments is fixed by those conditions or is left at the option of the purchaser) payable over a fixed or ascertainable period; or (ii) is to be paid at the expiration of a fixed or ascertainable period with an option, express or implied, for the purchaser to make payments in respect of the purchase price during that period. 15. Some credit excluded from being credit in relation to loan contracts For the purposes of this Act, a reference to credit in relation to a loan contract does not include a reference to credit provided under a credit sale contract or a continuing credit contract. 16. Business of providing credit, meaning of In this Act, a reference to carrying on a business of providing credit includes a reference to carrying on the provision of credit in the course of or as part of or as incidental to or in connection with the carrying on of another business. 17. Recognised States The Governor — (a) if he is satisfied that in another State or a Territory the law for the regulation of the provision of credit is such as to enable reciprocal arrangements to be made with this State in relation to the provision of credit may, by order published in the Government Gazette declare that other State or that Territory to be a recognised State; and (b) may, by order so published, vary or revoke a declaration under paragraph (a). 18. Exceptions from application of Act (1) The provisions of Parts III, IV, V, VI, VII and VIII do not apply to or with respect to a regulated contract where the credit provider is a bank and the credit provided is secured by a mortgage of real property. (2) The provisions of Parts III, IV, V, VI, VII and VIII do not apply to or with respect to the provision of credit by a bank or a pastoral finance company where the credit is provided by way of overdraft or otherwise than by way of a credit sale contract, continuing credit contract or term loan. [Section 18 amended: No. 47 of 1989 s. 3; No. 26 of 1999 s. 70(3); No. 12 of 2001 s. 51; No. 17 of 2005 s. 24.] 19. Excluding and varying operation of Act (1) The Governor may, by order published in the Government Gazette, declare that the provisions of this Act, or such of those provisions as are specified in the order — (a) do not have effect in relation to a specified person or to a specified class of persons; or (b) have effect in relation to a specified person or to a specified class of persons to such extent as is specified; or (c) do not have effect in relation to a specified transaction or matter or class of transactions or matters; or (d) have effect in relation to a specified transaction or matter or class of transactions or matters to such extent as is specified; or (e) do not have effect in relation to a specified transaction or class of transactions entered into by a specified person or specified class of persons or in relation to specified associated matters; or (f) have effect in relation to a specified transaction or class of transactions entered into by a specified person or specified class of persons, or in relation to specified associated matters, to such extent as is specified. (2) An order made under subsection (1) — (a) may specify the period during which the order shall remain in force; or (b) may provide that its operation is subject to such terms and conditions as are specified in the order. (3) The Governor may, by order published in the Government Gazette, revoke or vary an order made under this section. (4) An order made under this section, including an order that is varied under this section, shall be deemed to be a regulation for the purposes of section 42 of the Interpretation Act 1984 and the provisions of that section shall apply accordingly. (5) An order in force under this section, including an order that is varied under this section, has effect according to its tenor. (6) A person to whom an order under this section applies, including an order that is varied under this section, shall comply with the terms and conditions (if any) to which the operation of the order is subject. Penalty: $5 000. 19A. Act not to apply to some credit contracts made on or after 1 Nov 1996 (1) Subject to subsection (2), this Act does not apply to a credit contract made on or after the commencement of section 13 of the Consumer Credit (Western Australia) Act 1996 1 (in this section and section 19B called the commencement day). (2) This Act applies to — (a) a credit contract, other than a continuing credit contract, and to a mortgage or guarantee relating to such a credit contract — (i) made on or after the commencement day if the offer to enter into it was made before the commencement day; and (ii) to which this Act would have applied if the credit contract had been made before the commencement day; and (b) a credit contract, other than a continuing credit contract, and to a mortgage or guarantee relating to such a credit contract made on or after the commencement day but not later than one month after that day if — (i) the credit contract as made did not comply with the Consumer Credit (Western Australia) Code 1; and (ii) had the credit contract been made before the commencement day, this Act would have applied to it and it would have complied with this Act. [Section 19A inserted: No. 30 of 1996 s. 13; amended: No. 14 of 2010 s. 9(2).] 19B. Act to continue to apply to some acts etc. done before 1 Nov 1996 (1) Except as otherwise provided by this section, this Act continues to apply — (a) to a continuing credit contract entered into before the commencement day, but only in respect of anything done or omitted to be done before the commencement day; and (b) to a credit contract of any other kind entered into before the commencement day in respect of anything done or omitted to be done, whether before or after the commencement day; and (c) to a mortgage or guarantee relating to a continuing contract referred to in paragraph (a), but only in respect of anything done or omitted to be done before the commencement day; and (d) to a mortgage or guarantee relating to a credit contract referred to in paragraph (b) in respect of anything done or omitted to be done, whether before or after the commencement day. (2) If the credit provider under a contract to which this Act continues to apply acts in accordance with — (a) in respect of any action before 1 July 2010, the Consumer Credit (Western Australia) Code 1 section 34, 35, 66 to 69, 78 to 99, 163, 171, 172 or 173; or (b) in respect of any action on or after 1 July 2010, the National Credit Code section 36, 37, 72 to 75, 85 to 107, 185, 194, 195 or 196, the credit provider is taken to have acted in accordance with the corresponding provision of this Act. (3) Despite anything to the contrary in subsection (2), section 112(1)(b) continues to apply in respect of goods subject to a regulated mortgage. [Section 19B inserted: No. 30 of 1996 s. 13; amended: No. 14 of 2010 s. 9(3) 2; No. 17 of 2014 s. 20.] Part II — Contracts of sale 20. Application of Part (1) In this Part, a reference to a contract of sale is a reference to — (a) a contract of sale of goods or services where the cash price in relation to the sale is not more than $20 000; or (b) a contract of sale of goods, being a commercial vehicle or farm machinery; or (c) a contract of sale — (i) of goods, being a commercial vehicle or farm machinery in relation to which the cash price is more than $20 000; and (ii) of other goods or services. (2) For the purposes of this Part, a reference to a buyer or a person who buys or proposes to buy goods or services does not include a reference to a body corporate. 21. Buyer may rescind contract of sale in some cases (1) Where a buyer, before entering into a contract of sale of goods or services, makes it known to the supplier that he requires credit to be provided in respect of the payment for the goods or services and the credit is not provided by the supplier, the buyer, if he takes reasonable steps to obtain the credit but does not obtain the credit, may within a reasonable period after the contract is made, by notice in writing given to the supplier, rescind the contract. (2) Where a buyer has purported to rescind a contract of sale as referred to in subsection (1), a court may, on the application of the supplier or the buyer, declare whether or not the purported rescission was valid and, if it declares that it was valid — (a) may, on the application of the supplier or the buyer, where there is a dispute as to the return of the goods to the supplier, make an order relating to the return of the goods; and (b) may, where the contract of sale included terms relating to the compensation of the supplier for loss suffered by reason of the delivery of the goods to the buyer, make an order relating to the payment of compensation. 22. Supplier not to require buyer to obtain credit from specified person A supplier shall not require a person who, under a contract of sale, buys or proposes to by goods or services supplied by him to obtain credit from a specified person in respect of payment for the goods or services. Penalty: $2 000. 23. Rescission etc. of certain contracts, consequences of (1) Where a regulated credit sale contract is rescinded or discharged (whether under this Act or any other Act or law), any mortgage or guarantee that relates to the contract is also discharged to the extent that it secures or guarantees the payment of a debt or other pecuniary obligation, or the performance of any other obligation, under the regulated credit sale contract. (2) Where a contract of sale is rescinded or discharged (whether under this Act or any other Act or law) — (a) any regulated loan contract relating to the contract of sale and made by