Public Finance and Audit Act 1987

Subject to subsection (2), a transaction to which a semi-government authority is a party or apparently a party (whether made or apparently made under the authority's common seal or by a person with authority to bind the semi-government authority) is not invalid because of—

any deficiency of power on the part of the authority;

any procedural irregularity on the part of the governing body or any member of the governing body of the authority or on the part of an employee or agent of the authority;

any procedural irregularity affecting the appointment of a member of the governing body of the authority or an employee or agent of the authority.

This section does not validate a transaction in favour of a party—

who enters into the transaction with actual knowledge of the deficiency or irregularity; or

who has a connection or relationship with the semi-government authority such that the person ought to know of the deficiency or irregularity.