Section 208 - Provisions supplemental to sections 206 and 207

(1) For the purposes of sections 206 and 207 and of this section, the expression “payment” includes a benefit or an advantage whether in cash or in kind.

(2) Sections 206 and 207 shall not render unlawful, or apply to, the payment of damages awarded or approved by a court of competent jurisdiction for breach of a valid service agreement or the genuine payment of a pension or superannuation benefit in respect of past services in accordance with a valid service agreement.

(3) For the purposes of subsection (4) of section 207 and of subsection (2) of this section, a service agreement is not valid if the service agreement has been entered into in contemplation of a transfer referred to in subsection (2) of section 206 or of an offer referred to in subsection (1) of section 207 and unless the contrary is proven, the service agreement shall be deemed to have been entered into in contemplation of that transfer or offer if the service agreement is made within one year before or contemporaneously with, or at any time after the date of the agreement to transfer or the making of the offer.

(4) For the purposes of sections 206 and 207,

(a) a payment, which is not a remuneration properly payable in accordance with section 185, is received by a director or former director within a period of one year before, or two years after the date of the agreement to make the transfer referred to in subsection (2) of section 206 or of the date of making an offer referred to in subsection (1) of section 207, and

(b) the company or the person to whom the transfer or by whom the offer was made was privy to the making of the payment,

the payment shall be deemed to have been received by the director or former director in connection with the transfer or offer unless the director or former director proves that, the payment would have been received by the director or former director whether or not the transfer or offer had been made.