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STATUTES AMENDMENT AND REPEAL (SIMPLIFY) ACT 2017 (NO 7 OF 2017) - SECT 116

116—Amendment of Schedule 3—Second-hand Vehicles Compensation Fund

        (1)         Schedule 3, clauses 2 and 2A—delete the clauses and substitute:

2—Claim against Fund

        (1)         A person (not being a dealer) who has—

            (a)         purchased a second-hand vehicle from a dealer; or

            (b)         made a payment to a dealer in respect of the purchase of a second-hand vehicle under a contract that has been rescinded in accordance with section 18B; or

            (c)         sold a second-hand vehicle to a dealer; or

            (d)         left a second-hand vehicle in a dealer's possession to be offered for sale by the dealer on behalf of the person,

may make a claim for compensation from the Fund in respect of an unsatisfied claim against the dealer arising out of or in connection with the transaction.

        (2)         A claim for compensation from the Fund must—

            (a)         be made to the Commissioner; and

            (b)         be made in a manner and form determined by the Commissioner.

        (3)         This Schedule—

            (a)         applies to a claim relating to a transaction only if the dealer was licensed, or the claimant reasonably believed the dealer to have been licensed, at the time of the transaction;

            (b)         does not apply to a claim arising out of or in connection with—

                  (i)         the sale of a second-hand vehicle by auction; or

                  (ii)         the sale of a second-hand vehicle negotiated immediately after an auction for the sale of the vehicle was conducted,

if the auctioneer who conducted the auction or negotiated such a sale (as the case may be) was acting as an agent only and was selling the vehicle on behalf of another person who was not a licensed dealer;

            (c)         does not apply to a claim prescribed by regulation.

        (4)         The Commissioner may require a person making a claim—

            (a)         to furnish further information specified by the Commissioner; and

            (b)         to verify, by statutory declaration, information furnished for the purposes of making or establishing a claim.

        (5)         The Commissioner must, on receipt of a claim for compensation—

            (a)         give the claimant and the dealer or former dealer concerned notice of the claim; and

            (b)         allow the claimant and the dealer or former dealer a reasonable opportunity to make submissions as to the claim.

        (6)         The Commissioner must, on making a determination on a claim, give the claimant and the dealer or former dealer written notice of the determination.

        (7)         In determining a claim for compensation under this clause, any possible reduction to which the claimant's entitlement may be subject because of insufficiency of the Fund must be disregarded.

        (8)         In determining a claim for compensation under this clause, questions of fact are to be decided on the balance of probabilities.

        (9)         If the Commissioner is satisfied that—

            (a)         the claimant has a valid unsatisfied claim against the dealer arising out of or in connection with the transaction; and

            (b)         the claimant has no reasonable prospect of recovering the amount of the claim (except under this Schedule),

the Commissioner may make a determination authorising a payment to the claimant from the Fund.

        (10)         The claimant or the dealer or former dealer concerned may, within 3 months after receiving notice of the Commissioner's determination, appeal to the Magistrates Court against the determination.

        (11)         If an appeal is not instituted within the time allowed, the claimant's entitlement to compensation is finally determined for the purposes of this Schedule.

        (2)         Schedule 3, clause 5(1)—delete "Magistrates Court" and substitute:

Commissioner

        (3)         Schedule 3, clause 5(1)—delete "order or"



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