Whilst a decision to pay MRCA permanent impairment is accompanied by a choice to take legal action for damages against the Commonwealth for non-economic loss under s 389, the decision is not an ‘offer’ of compensation.
It is a determination of entitlement to compensation that is dependent on by a positive election by the client to seek damages under s 389.
These guidelines cover the steps to be followed in the recovery of overpayments made under both the MRCA and DRCA. Where these pieces of legislation differ the steps will clearly indicate this. Otherwise all steps detailed can be applied to both DRCA and MRCA overpayment recovery.
This is a guidance document describing principles and processes that underlie debt recovery and reporting arrangements. This manual does not specify the method for calculating:
At any time in the recovery process a PI payment to be made to the claimant with a debt should be reduced by the overpayment amount (still) outstanding.^ |
R & C staff are reminded that the issue of recovery of overpayments is a sensitive one and is often the subject of Ministerial and Ombudsman enquiries. Overpayments are also subject to external scrutiny, particularly from audit authorities. It is important that close attention is paid to the management of recovery of overpayments and that a clear understanding of the recovery process is developed.
