Paragraph 10

Not yet in force

(1)

A transfer scheme may include provision for the payment of compensation in a case where—

(a)

as a result of a provision of the scheme—

(i)

a third-party right becomes enforceable partly against one transferee and partly against another, or

(ii)

a third-party liability becomes enforceable partly by one transferee and partly by another, and

(b)

an effect of that result is to reduce the value of—

(i)

property of the third party, or

(ii)

a right of the third party.

(2)

Provision included under this paragraph may, in particular—

(a)

provide for compensation to be paid by a transferee;

(b)

provide for compensation to be paid by the transferor;

(c)

provide for compensation to be paid by the Secretary of State;

(d)

provide for arbitration (as to liability or quantum).

(3)

In this paragraph—

(a)

a reference to a third-party right, in relation to a provision of a transfer scheme, is a reference to a right of a person who under that provision is neither the transferor nor a transferee,

(b)

a reference to a third-party liability, in relation to a provision of a transfer scheme, is a reference to a liability of a person who under that provision is neither the transferor nor a transferee,

(c)

a reference to a right’s being enforceable includes a reference to its being enforceable if certain events occur or circumstances appertain,

(d)

“transferee” means a person to whom property, rights or liabilities are transferred under a transfer scheme, and

(e)

“transferor” means the Board.