(1) Subject to subsection (4), liability to a penalty does not arise if the Reporting Financial Institution satisfies the competent authority or a court of competent jurisdiction that there is a reasonable excuse for the failure. (Amended by Act 10 of 2017)
(2) For the purposes of this Act the following is not a reasonable excuse —
(a) that there is an insufficiency of funds to perform an act; or
(b) that a Reporting Financial Institution relies on another person to perform an act.
(3) If a Reporting Financial Institution had a reasonable excuse for a failure but the excuse no longer exists, the person is to be treated as having continued to have the excuse if the failure is remedied without unreasonable delay after the excuse existed.
(4) This section does not apply to section 16(1).