Financial Advisers Act 2008

20F Who is responsible for financial adviser obligations


If a financial adviser service is provided by a person (A) on behalf of the business of another person (B), the following persons are treated as the financial adviser having the financial adviser obligation under this Act:


if it is a personalised service provided to a retail client (unless paragraph (b) applies), both A and B:


if A is a QFE adviser and B is the QFE or a member of a QFE group, B only:


in any other case, B only.


If B has a financial adviser obligation under subsection (1),—


any act or omission by A is also treated as being done by B; and


if it is necessary to show the state of mind of B, it is sufficient to show that A had that state of mind.


However, subsection (1) does not apply to the financial adviser obligations in sections 37 and 45 (which apply to A only).


Subsections (1) to (3) do not affect the liability of A or B under any other Act or rule of law for A’s actions.

Section 20F: inserted, on 1 July 2010, by section 10 of the Financial Advisers Amendment Act 2010 (2010 No 40).