3.5.2 Court orders discharging late payment penalties
Context
A court exercising family law jurisdiction may not make an order discharging LPPs payable to the Registrar. If a court does make an order of this type, the Registrar is not bound by the terms of the order, but will consider remitting any penalties.
See 5.1.6 for more details on when LPPs can be remitted.
Act reference
CSRC Act section 68
Orders discharging LPPs
A court exercising family law jurisdiction has no power to deal with LPPs. The Registrar is not required to give effect to an order that is invalid.
Despite this, the Registrar sometimes receives court orders made in proceedings between parents that direct the Registrar to reduce or remit LPPs. The Registrar will consider whether it is appropriate to reduce or remit the LPPs. The Registrar will take into account any evidence produced to the court about the payer's financial position when deciding if there are special circumstances that make it fair and reasonable to reduce or remit the LPP (section 68(1)(c)).