8Compensation for breach of RFA by Commonwealth

8 Compensation for breach of RFA by Commonwealth

(1) The Commonwealth is liable to pay any compensation that: (a) is in relation to reasonable loss or damage arising from the curtailment of legally exercisable rights; and (b) is calculated as at the time of the curtailment; and (c) the Commonwealth is required to pay to a State in accordance with the compensation provisions of an RFA, being those provisions as in force: (i) at the time of commencement of this section; or (ii) at the time the RFA comes into force; whichever is later. (2) The Commonwealth’s liability incurred under subsection (1) while an RFA is in force continues even though the RFA may subsequently have expired or been terminated. (3) Compensation that the Commonwealth is liable to pay under this section: (a) may be recovered as a debt in a court of competent jurisdiction; and (b) is payable out of money appropriated by the Parliament.