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(1)Where this Act authorises—
(a)the diversion of an existing road or footpath; or
(b)the making of a new road or footpath and the stopping up of an existing road or footpath or portion thereof;
the stopping up of the existing road or footpath shall not in any case take place until the highway authority are satisfied that the new road or footpath has been completed in accordance with their reasonable requirements and is open for public use or, in the case of any difference between the appropriate authority and the highway authority as to whether the said requirements have been complied with or as to their reasonableness, until the matter in dispute has been referred to and determined by arbitration.
(2)Before referring a matter to arbitration under this section, the appropriate authority shall give to the highway authority seven days' notice in writing of their intention to do so.
(3)As from the completion to the satisfaction of the highway authority of the new road or footpath, or as from the date of the determination by arbitration of any difference under subsection (1) above, as the case may be, all rights of way over or along the existing road or footpath or portion thereof authorised to be diverted or stopped up shall be extinguished.
(4)Any person who suffers loss by the extinguishment of any private right under this section shall be entitled to be paid by the appropriate authority compensation to be determined in case of dispute by the tribunal.
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