LAND AGENTS ACT 1994 - SECT 40
LAND AGENTS ACT 1994 - SECT 40
40—Insufficiency of indemnity fund
(1) Where the
indemnity fund is insufficient to pay all outstanding amounts to which
claimants are entitled, the Commissioner must make proportionate reductions in
the amounts paid out in respect of those entitlements.
(2) Where, at the time
at which a claimant's entitlement to compensation is determined, other persons
have made claims that have not yet been determined, the Commissioner may defer
payment of the claimant's entitlement for any period (not exceeding 12 months)
in order to allow time for the entitlements of those other claimants to be
determined.
(3) The Commissioner
may set aside a part of the indemnity fund as the Commissioner from time to
time considers necessary to protect the interests of persons who—
(a) have
made claims against the fund that have not been determined; or
(b) are
likely to make claims against the fund in the future,
and, when determining whether payments to claimants should be reduced, the
Commissioner must not take into account a part of the fund set aside by the
Commissioner.
(4) If, after a
claimant's entitlement to compensation has been determined, the claimant
recovers an amount (that was not allowed for in that determination) in respect
of the pecuniary loss suffered by the claimant, the claimant's entitlement to
compensation is reduced by the amount recovered.
(5) Entitlements in
respect of which payments are made under this section are discharged despite
the fact that they may not have been satisfied in full.
(6) The Commissioner
may, with the approval of the Minister, make payments to a person—
(a)
whose entitlement to compensation has been discharged; or
(b)
whose entitlement to compensation is insufficient because an amount that the
person was expected to recover in respect of the pecuniary loss has not been
recovered; or
(c)
whose claim is barred,
but a payment so made does not revive or reinstate an entitlement or claim.