122WLimits of compensation

122W Limits of compensation

(1) The total of the amounts paid out of the Fund in connection with claims that:

(a) by reason of:

(i) unless subparagraph (ii) applies—a dealer having become insolvent on a particular day; or

(ii) if 2 or more partners in the same member organisation have become insolvent on a particular day—those partners having become insolvent on that day;

this Division entitles persons to make; and

(b) are allowed by the Corporation;

shall not exceed an amount equal to 14% of the minimum amount of the Fund as at the end of that day. (2) The amount, or the total of the amounts, paid out of the Fund in connection with a claim or claims that:

(a) by reason of:

(i) unless subparagraph (ii) applies—a dealer having become insolvent on a particular day; or

(ii) if 2 or more partners in the same member organisation have become insolvent on a particular day—those partners having become insolvent on that day;

this Division entitles a person to make; and

(b) is or are allowed by the Corporation;

shall not exceed:

(c) if, as at the end of that day, an amount greater than $50,000 is prescribed for the purposes of this subsection—that amount; or

(d) in any other case—$50,000.

(3) In determining, for the purposes of subsection (1) or (2), the amount, or the total of the amounts, paid out of the Fund in connection with a claim or claims in respect of property:

(a) an amount paid out of the Fund in connection with the claim or any of the claims shall, to the extent to which it is repaid to the Fund, be disregarded; and

(b) where, by virtue of the exercise of a right or remedy in relation to property that is, or is included in, the first‑ mentioned property, being a right or remedy of the claimant, or of any of the claimants, to which the Corporation is to be deemed, by virtue of section 122ZA, to be subrogated, money or other property has been recovered by, or on behalf of, the Corporation—so much of the amount, or of the total of the amounts, paid out of the Fund in connection with the claim or claims as does not exceed:

(i) the amount of that money; or

(ii) the value of so much (if any) of that other property as has not been, and is not required to be, supplied under subsection 122R(2) in respect of the claim or any of the claims;

as the case may be, shall be disregarded.

(4) In order to ensure compliance with subsections (1) and (2) as they apply in relation to a particular claim or particular claims:

(a) the Board may, in relation to that claim, or in relation to each of those claims, as the case may be, determine in writing an amount to be the maximum amount in relation to the claim; and