Court may set aside affected agreement
(1) A person (the applicant) who, because of an affected agreement, is prevented from exercising an action on a cause of action may— (a) commence proceedings on the cause of action in a court with sufficient jurisdiction to hear the cause of action, and (b) apply to the court to set aside the affected agreement. (2) The court may set aside an affected agreement if it is just and reasonable to do so. (3) The court may consider the following in making its decision to set aside the affected agreement— (a) the amount paid to the applicant under the agreement, (b) the bargaining position of the parties to the agreement, (c) the conduct in relation to the agreement of— (i) the parties other than the applicant, or (ii) the legal representatives of the parties other than the applicant, (d) any other matter the court considers relevant. (4) Section 131(1) of the Evidence Act 1995 does not prevent evidence being adduced in proceedings under this section, even if the evidence is of a communication made, or a document prepared, in connection with an attempt to negotiate a settlement of the dispute to which the affected agreement relates.
Sourced from the New South Wales Legislation website at 8 June 2026. For the latest information on New South Wales Government legislation please go to https://www.legislation.nsw.gov.au. Verify the current text against the official source before relying on it.
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