Page 436 - IOM Law Society Rules Book

c.8 Financial Services Act 2008 139

(a) if the case arises as a result of section 27, have regard
to the issue mentioned in subsection (5); or

(b) if the case arises as a result of section 28, have regard
to the issue mentioned in subsection (6).

(5) The issue is whether the person carrying on the regulated
activity concerned reasonably believed that that person was not
contravening the general prohibition in section 4(1)(a) by making
the agreement.

(6) The issue is whether the provider knew that the third
party was (in carrying on the regulated activity) contravening that
general prohibition.

(7) If the person against whom the agreement is
unenforceable —

(a) elects not to perform the agreement, or

(b) as a result of this section, recovers money paid or other
property transferred by that person under the agreement,

that person must repay any money and return any other property
received under the agreement.

(8) If property transferred under the agreement has passed
to a third party, a reference in section 27 or 28 or this section to
that property is to be read as a reference to its value at the time of
its transfer under the agreement.

(9) The commission of an offence other than a
contravention of the general prohibition under section 4(1)(a) does
not make the agreement concerned illegal or invalid to any greater
extent than is provided by section 27 or 28.

PART 7

SUPPLEMENTARY

Chapter I

General

30. (1) The Commission may publish, or arrange for the Publication
publication of, information in such form and manner as it considers of information
appropriate with respect to —

(a) the operation of this Act or the Financial Supervision
Act 1988 and any public document made under them, [c.16]