12Requisitioning of aircraft—dealing with claims for compensation for injury, loss or damage

12 Requisitioning of aircraft—dealing with claims for compensation for injury, loss or damage

(1) Subject to section 11, as soon as practicable after receiving a claim made in accordance with section 10, AA must consider the claim and decide to: (a) pay the full amount of compensation claimed; or (b) refuse to pay any amount of compensation claimed; or (c) refuse to pay the full amount of compensation claimed and pay a part of the compensation claimed.

Note: Decisions about claims are reviewable under section 39.

(2) AA must give notice to the claimant of a decision under subsection (1). (3) The notice must include: (a) a statement of reasons for the decision; and (b) a statement to the effect that a person whose interests are affected by the decision may: (i) apply to AA for review of the decision in accordance with section 39; and (ii) subject to the Administrative Review Tribunal Act 2024, apply to the Administrative Review Tribunal for a review of a decision made by AA under subsection 39(3). (4) In making a decision under subsection (1), AA must have regard to the following: (a) any evidence provided by the claimant; (b) if the claim is for compensation for loss sustained as a result of the requisitioning of an aircraft: (i) charter rates applicable to an aircraft of that type; and (ii) the connection between any expense claimed and the use, during the period of the requisition, of the aircraft; and (iii) the likely cost of repairing any damage to the aircraft that occurred as a result of its use during the period of the requisition, including the cost of restoring the aircraft to the condition it was in immediately before it was requisitioned; (c) if the claim is for compensation for an injury to a person—the amount that would be payable in respect of the injury in accordance with the Safety, Rehabilitation and Compensation Act 1988.