18 December 2009
Financial Planning Association
of Australia Limited
ABN 62 054 174 453
Expert Panel
Unconscionable Conduct Issues Paper
Competition and Consumer Policy Division
Treasury
Langton Crescent
PARKES ACT 2600
Level 4, 75 Castlereagh Street
Sydney NSW 2000
GPO Box 4285
Sydney NSW 2001
Tel: 02 9220 4500
Fax: 02 9220 4580
Member Freecall: 1800 337 301
Consumer Freecall: 1800 626 393
Fax: 03 9627 5280
via email: unconscionableconduct@treasury.gov.au
Dear Sirs
fpa@fpa.asn.au
www.fpa.asn.au
1
The Financial Planning Association (FPA) appreciates the opportunity to offer comments on the Treasury‟s
issues paper on unconscionable conduct regulation, with specific relationship to the Trade Practices Act (TPA).
Given the nature of the FPA‟s membership, our interests are in financial services more so than in other lines of
business as typically covered by TPA provisions. However, given the statutory relationship between the TPA
and the ASIC Act we are very concerned by the consultation paper‟s references to potential „automatic‟
modification of the ASIC Act.
We note the recommendations of the Senate Standing Committee on Economics to engage industry participants
in an inquiry process on examples of unconscionable conduct to be added to the TPA, and to consider an
associated statement of principles. We also note the consultation paper‟s statement that, “[s]ince the
unconscionable conduct provisions of the TPA are mirrored in the ASIC Act with respect to financial services,
consideration of any option for amending the TPA must also take into account the potential impact of the option
on the supply of financial services.” As such, we are concerned about the potential for changes in the TPA to
inadvertently affect the law governing financial services, as embodied in the ASIC Act.
Financial Services provision is uniquely complex, and so we encourage the panel to limit its consideration to
issues outside the scope of financial services. It is our strong view that modifications of the ASIC Act should
only be done after specific consultation on the effect of those changes on the ASIC Act itself and definitely not
through delegated change in another Act dealing with differently regulated activities. Should such a consultation
take place, the FPA would be happy to participate.
Should you wish to discuss this further, please contact me on 02 9220 4514 or jo-anne.bloch@fpa.asn.au.
Yours sincerely
Jo-Anne Bloch
Chief Executive Officer
1
The FPA is the peak professional organisation for the financial planning sector in Australia. With approximately 12,000 members organised
through a network of 31 Chapters across Australia, the FPA represents qualified financial planners who manage the financial affairs of over
five million Australians with a collective investment value of more than $630 billion.
New South Wales / ACT
GPO Box 4285
Sydney
NSW 2001
Ph: 02 9220 4500
Fax: 02 9220 4580
nsw@fpa.asn.au
Queensland
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Stones Corner
Qld 4120
Ph: 07 3394 8288
Fax: 07 3394 8289
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NT / SA / Tas / WA
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Adelaide SA 5000
Ph: 08 8237 0520
Fax: 08 8237 0582
sa@fpa.asn.au
Victoria
PO Box 109, Collins St West
Melbourne
Vic 8007
Ph: 03 9627 5200
Fax: 03 9627 5280
vic@fpa.asn.au