PART 3BENEFITS PAYABLE FOR INJURY

F1Payment of armed forces independence payment in respect of Motability24D

1

This article applies where—

a

armed forces independence payment is payable in respect of a claimant, and

b

under arrangements made or negotiated by Motability, an agreement has been entered into by, or on behalf of, the claimant for the hire or hire-purchase of a vehicle.

2

Where this article applies the Secretary of State may arrange that out of any armed forces independence payment an amount of up to F3F2£71.00 per week be paid on behalf of the claimant in settlement of liability for payments due under the agreement.

3

Subject to articles 24E and 24F, an arrangement made by the Secretary of State under paragraph (2) terminates at the end of the relevant period specified in paragraph (4), in the case of hire, or paragraph (5), in the case of a hire-purchase agreement.

4

In the case of hire, the relevant period is—

a

where the vehicle is returned to the owner at or before expiry of the term of hire, the period of the term; or

b

where the vehicle is retained by, or on behalf of, the claimant with the owner's consent after expiry of the term of hire, the period of the term; or

c

where the vehicle is retained by, or on behalf of, the claimant otherwise than with the owner's consent after the expiry of the term of hire or its earlier termination, whichever is the longer of the following periods—

i

the period ending with the return of the vehicle to the owner; or

ii

the period of the term of hire.

5

In the case of a hire-purchase agreement, the relevant period is—

a

the period ending with the purchase of the vehicle; or

b

where the vehicle is returned to, or repossessed by, the owner before the completion of the purchase, the original period of the agreement.