Northern Territory Consolidated Acts

MOTOR ACCIDENTS (COMPENSATION) ACT - SECT 38

(1) A person (the indemnifier ) is liable to indemnify the Office for statutory benefits paid to another person in relation to death or injury arising from a motor accident if:

(a) the motor accident was caused by, or arose from, the use of a motor vehicle registered in another jurisdiction; and

(b) the indemnifier is:

(i) a person who would, assuming this Act had never existed, have been liable in damages, in tort or contract, for the death or injury arising from the motor accident; or

(ii) a person who is liable to indemnify such a person for that liability under an insurance contract or a statutory insurance scheme.

(2) A person (the indemnifier ) is liable to indemnify the Office for statutory benefits paid to another person in relation to death or injury arising from a motor accident if:

(a) the motor accident was caused by, or arose from, the use of an unregistered motor vehicle on a public street or public place; and

(b) the indemnifier is a person who would, assuming this Act had never existed, have been liable in damages, in tort or contract, for the death or injury arising from the accident.

(3) A person (the indemnifier ) is liable to indemnify the Office for statutory benefits paid to another person in relation to death or injury arising from a motor accident if:

(a) the indemnifier was the driver of the motor vehicle, or one of the motor vehicles involved in the accident; and

(b) the indemnifier would, assuming this Act had never existed, have been liable in damages, in tort or contract, for the death or injury arising from the accident; and

(c) the indemnifier has been convicted in the Territory or elsewhere of an offence arising from the indemnifier's conduct at the time of the accident; and

(d) the offence involved:

(i) intentionally, recklessly or otherwise wrongfully causing the death of, or injury to, another person; or

(ii) driving while under the influence of alcohol or a drug; or

(iii) driving with a concentration of alcohol in the blood of 80 milligrams or more per 100 millilitres of blood; or

(iv) refusing or failing to submit to breath analysis, or to provide a sample of blood, when lawfully required to do so.

(4) A person (the indemnifier ) is liable to indemnify the Office for statutory benefits paid to another person in relation to death or injury arising from a motor accident if:

(a) the indemnifier was the manufacturer or repairer of the motor vehicle, or one of the motor vehicles involved in the accident; and

(b) a defect in the manufacture or repair of the motor vehicle caused or contributed to the accident; and

(c) the indemnifier would, assuming this Act had never existed, have been liable in damages, in tort or contract, for the death or injury.

(5) A person (the indemnifier ) is liable to indemnify the Office for statutory benefits paid to another person in relation to death or injury arising from a motor accident if:

(a) the indemnifier is a person (other than the owner or driver of a motor vehicle involved in the motor accident) whose wrongful or negligent act or omission caused or contributed to the accident; and

(b) the indemnifier would, assuming this Act had never existed, have been liable in damages, in tort or contract, for the death or injury; and

(c) the indemnifier is not otherwise liable to indemnify the Office under this section.

(6) If, assuming an action in tort against the indemnifier:

(a) the indemnifier would have been entitled to a proportionate reduction of liability on account of contributory negligence; or

(b) the indemnifier would have been entitled to contribution from other persons liable for the same tort;

the extent to which the indemnifier is liable to indemnify the Office is reduced accordingly.

(7) The extent of a reduction of liability under subsection (6) is to be determined by agreement between the Office and the indemnifier or, in the absence of agreement, by a court in which an action for recovery of the indemnity is brought.

(8) The Office may recover an indemnity under this section as a debt owed to the Office by the indemnifier.

(9) If:

(a) the Office brings an action against a natural person for recovery of an indemnity under this section; and

(b) the court is satisfied that the recovery of the full amount of the indemnity against the defendant would cause serious financial hardship;

the court may give judgment for a reduced amount that it considers reasonable in the circumstances.