36Payments made by SPF trustee directly to claimants

#### 36 Payments made by SPF trustee directly to claimants 36 Payments made by SPF trustee directly to claimants > > (1) This section applies to any payment of funds from any of the compensation funds made by the SPF trustee directly to a payable claimant in order to discharge (whether wholly or in part) a payable liability of a liable entity to the claimant that is made on the entity’s behalf or for its benefit. > > > (2) A payment to which this section applies operates— > > > > > (a) to discharge the liability concerned to the same extent to which the liability would have been discharged if the payment had been made directly to the payable claimant by the liable entity, and > > > > > (b) except where the SPF trustee makes the payment from the discretionary fund—to confer on the SPF trustee a right against the liable entity to be indemnified for the amount of the payment (including any relevant interest), and > > > > > (c) except where the SPF trustee makes the payment from the discretionary fund—to confer on the SPF trustee the same rights to obtain contribution from third parties in respect of the subject-matter of the liability concerned as the liable entity would have had if it had made the payment directly. > > > (3) The SPF trustee may require the liable entity to pay the amount the subject of the indemnity referred to in subsection (2) (b) on demand. > > > (3A) Without limiting subsection (3), the SPF trustee may determine whether to make a requirement under that subsection after the end of the financial year (within the meaning of the Final Funding Agreement) in which the right to indemnity arose or at such other times as the SPF trustee may determine. > > > (4) Any right of the SPF trustee conferred by subsection (2) (b) to be indemnified by the liable entity does not enable the SPF trustee to recover from the entity any amount that the SPF trustee has already recovered from a third party as a contribution under subsection (2) (c). > > > (5) For the purposes of subsection (2) (b), relevant interest means an amount of interest calculated in accordance with the terms of the Final Funding Agreement for amounts in respect of which the SPF trustee is to be indemnified by a liable entity or calculated in accordance with such other method or methods as may be prescribed by the regulations. > > > > Note— > > > > It is intended that the prescription by the regulations of a method of calculating interest for the purposes of this definition will be consistent with the terms of the Final Funding Agreement. > > **s 36:** Am 2006 No 108, Sch 1 \[17\]–\[21\].