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Section 2.
1(1)This Schedule applies to payments which have become payable, or become payable after the commencement of this Act, by virtue of the scheme made under section fifty-six of the principal Act.
(2)In relation to such a payment, the expression " the payment area" in this Schedule means the land in respect of which the payment became or becomes payable, and references to the amount of the payment shall be construed as references to the principal amount thereof, excluding any interest payable thereon, under subsection (3) of section sixty-two of the principal Act.
(3)In this Schedule the expression " the date of the scheme" means the date of the coming into operation of the scheme made under the said section fifty-six.
2The provisions of this Schedule shall have effect where a payment to which this Schedule applies has become, or becomes, payable in respect of an interest in land, and a claim holding related, or would apart from this Schedule have related, to the like interest in the whole or part of that land with or without any other land.
3If the payment area is identical with the area of the claim holding, then—
(a)if the amount of the payment is equal to the value of the claim holding, the claim holding shall be deemed to have been extinguished as from the date of the scheme ;
(b)if the amount of the payment is less than the value of the claim holding, the value of the claim holding shall be deemed to have been reduced, as from the date of the scheme, by the amount of the payment.
4(1)If the payment area forms part of the area of the claim holding, the holding (in this paragraph referred to as "the parent holding ") shall be treated, as from the date of the scheme, as having been divided into two claim holdings, that is to say—
(a)a claim holding with an area consisting of that part of the area of the parent holding which constituted the payment area, and with a value equal to that fraction of the value of the parent holding which attached to that part of the area of the parent holding, and
(b)a claim holding with an area consisting of the residue of the area of the parent holding, and with a value equal to that fraction of the value of the parent holding which attached to the residue of the area of the parent holding.
(2)Where the preceding sub-paragraph applies, the last preceding paragraph shall have effect in relation to the claim holding referred to in head (a) of the preceding sub-paragraph as if it were the parent holding.
5If the payment area includes the area of the claim holding together with the other land, paragraph 3 of this Schedule shall apply as if—
(a)the payment area had been identical with the area of the claim holding, but
(b)the amount of the payment had been so much of the actual amount thereof as might reasonably be expected to have been attributed to the area of the claim holding if, under the scheme made under section fifty-six of the principal Act, the authority determining the amount of the payment had been required (in accordance with the same principles as applied to the determination of that amount) to apportion it as between the area of the claim holding and the rest of the payment area.
6If the payment area includes part of the area of the claim holding, together with other land not comprised in the area of the claim holding.—
(a)paragraph 4 of this Schedule shall apply as if the part of the payment area comprised in the area of the claim holding had been the whole of the payment area, and
(b)the last preceding paragraph shall apply as if the part of the area of the claim holding comprised in the payment area had been the whole of the area of the claim holding.
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