(1) Section 77A does not authorise anything that would otherwise be unlawful.

(2) Anything that purports to indemnify a person against a liability is void to the extent that it contravenes section 77A.

Inserted by Trade Practices Legislation Amendment Act (No 1) 2006 (Act 131 of 2006)

This provision was inserted as part of the Dawson reforms. Recommendation 10.2.3 stated that corporations should be 'prohibited from indemnifying, directly or indirectly, officers, employees or agents against the imposition of a pecuniary penalty upon an officer, employee or agent'.