ASX is publishing a note to ASX Settlement Operating Rule 7.1.5 (Death of a Holder) confirming that it will not regard as inconsistent with the rules for a Participant to agree with the legal representative of a deceased estate a period during which the relevant sponsorship agreement will be deemed to remain in force, if that period is not more than 12 months.

This approach allows for greater flexibility in handling deceased estates whilst avoiding the need to amend the terms of all existing sponsorship agreements.

Where a Participant chooses to agree with the legal representative of a deceased estate to keep the sponsorship agreement in force for longer than 3 months it can either do this on a case by case basis or adopt it as the Participant’s standard approach for all legal representatives of deceased estates. Whichever approach is taken Participants will want to maintain a record of when the legal representative agreed to the extension.

What's changing?

There is no change to the Rules from the clarification.

What do I need to do by when?

Participants should review the note to Rule 7.1.5 and consider whether changes are required to their procedures on the removal of Holder Record Locks for deceased estates.

Effective date

These changes become effective from 14 February 2017.

Need more information?

View more information in the following attachments:

• Addition of note to Rule 7_1_5

Issued by

Fiona Hooymans, GM Participants Compliance

Contact information

Bill Woods
+61 (02)  9227 0000
info@asx.com.au

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