4.4 Payment of damages to the Commonwealth

Key points

• Where damages are recovered from third parties (other than the Commonwealth), the Commission can issue a notice to the defendant requiring the defendant to pay the lesser of
  • the amount of damages, and
  • the compensation already paid to the veteran or dependant in respect of the same cause of action.

Note: Further information regarding the compensation that may be recovered is provided in Chapter 4.3.2.

• If the defendant pays the requested amount, the veteran or dependant's liability to repay the Commonwealth is discharged.
• The notice only has effect if it is given to the defendant before all the damages are paid to the veteran or defendant. If part of the damages has already been paid, then the defendant is liable to pay up to the amount that has not been paid.
• Where a defendant does not pay the required amount, the Commission may recover that amount from the defendant as a debt due to the Commonwealth.

Note: Where delegates require additional support, they should seek policy assistance via the Delegate Support Framework or if legal advice is required, from Legal and Audit Division.