(a) under section 994B, a person must make a target market determination for a financial product but the determination has not been made; and
(b) the product is on offer for acquisition by issue, or for regulated sale, to retail clients;
a regulated person must not engage in retail product distribution conduct in relation to the product unless:
(c) the regulated person made all inquiries (if any) that were reasonable in the circumstances and, after doing so, believed on reasonable grounds that:
(i) the determination had been made; or
(ii) this Part does not require a target market determination for the product; or
(d) the retail product distribution conduct is excluded conduct.
Note 1: Failure to comply with this subsection is an offence (see subsection 1311(1)).
Note 2: In a prosecution for an offence, the defendant bears an evidential burden in relation to the matters in paragraphs (c) and (d) (see subsection 13.3(3) of the Criminal Code ).
Note 3: This subsection is also a civil penalty provision (see section 1317E). For relief from liability to a civil penalty relating to this subsection, see section 1317S.