Victorian Consolidated Legislation

House Contracts Guarantee Act 1987 - SECT 43

Assignment of rights

43. Assignment of rights





(1) VMIA must not pay any amount under section 42 in respect of a claim
unless-



   (a)  the person entitled to payment under the claim has first assigned in
        writing to the State the person's right to recover from HIH, the
        builder or, if required by VMIA, any other person any amount in
        respect of the loss; and

   (b)  express notice in writing of the assignment has been given to HIH, the
        builder or other person, as the case requires.

(2) If a person assigns to the State a right to recover from HIH under a HIH
policy, the liquidator of HIH must not take into account any amount paid out
under an indemnity under this Part in determining a claim under that policy.