Yep, you are right, blackrivered. Funnily enough there was no...

Yep, you are right, blackrivered. Funnily enough there was no mention of what would happen in the event of default in the faq of the t3 prospectus. That was added later. To be fair, there was mention of the liability in the appendix, but ask yourself why telstra changed things later if they thought everything okay? My mistake came from downloading the wrong instalment receipt prospectus: at least it demonstrates that the asx code does not distinguish between fixed and limited liability securities.

http://www.asx.com.au/asx/statistics/announcements.do?by=asxCode&asxCode=tls&timeframe=Y&year=2006