Section 126 - General disciplines related to penalty.

Penalty proportionality: minor, rectifiable breaches attract no penalty and voluntary disclosure may mitigate sanctions.

Section 126 bars imposition of penalties for minor breaches and easily rectifiable documentation errors made without fraudulent intent or gross negligence, defines a minor breach by reference to a monetary threshold, requires penalties to be commensurate with the facts and circumstances, mandates an opportunity to be heard and specification of the breach and applicable law, allows voluntary pre-discovery disclosure to mitigate penalty, and excludes fixed-sum or fixed-percentage penalties from its scope.