26Reimbursement of the Trust

26 Reimbursement of the Trust

26 Reimbursement of the Trust

(1) In this section, an outstanding liability arises if:

(a) the Trust is required to pay to any other person any money for which the Trust is liable by reason of its having lawfully incurred the liability on behalf of a congregation, and

(b) the money has not been paid by the congregation to the Trust in a timely manner.

(2) The Trust may, for the purpose of being reimbursed for an outstanding liability in relation to a congregation:

(a) mortgage or sell all or any congregational trust property held on behalf of that congregation at such time, in such manner and upon such terms and conditions as it thinks fit, and

(b) out of the proceeds of the mortgage or sale, reimburse the Trust or pay, as the case may require, all interest and other expenses, including legal costs, if any, incurred in connection with the exercise of its powers under this section.

(3) Any residue of money held by the Trust after it has exercised its powers under subsection (2) with respect to congregational trust property held by it for the benefit of a congregation is to continue to be held by the Trust for the benefit of the congregation.