Section 228: Payment for vehicles furnished

(1) The person who furnishes a vehicle in pursuance of a requisitioning order otherwise than for the purpose of its being purchased, shall be entitled to be paid-
(a) a sum for the use of the vehicle calculated by reference to the period for which possession of the vehicle is retained at the rate of payment commonly recognised or generally prevailing in the district at the time at which the vehicle is furnished, or, in default of that rate, at such rate as may be appropriate;
(b) a sum equal to the cost of making good any damages to the vehicle, not being damage resulting in a total loss thereof or damage attributable to fair wear and tear, which may have occurred during the period for which possession of the vehicle is retained and which has not been made good during that period by a person acting on behalf of the Federal Government; and
(c) if, during that period, a total loss of the vehicle occurs, a sum amounting to the value of the vehicle immediately before the occurrence of the damage which caused the loss,
but in paragraph (b) of this subsection and in the Second Schedule to this Act, reference to fair wear and tear shall be construed as reference to such fair wear and tear as might have been expected to occur but for the fact that the vehicle was requisitioned.
(2) A person who furnishes a vehicle in pursuance of a requisitioning order for the purpose of its being purchased shall be entitled to be paid the value of the vehicle at the time at which it is furnished.
(3) Where a vehicle is furnished in pursuance of a direction under paragraph (b) of subsection (2) of section 226 of this Act then-
(a) for the purposes of paragraphs (a) and (b) of subsection (1) of this section (if those paragraphs apply), the period for which possession of the vehicle is retained shall be deemed to begin at the time when the direction is given, and for the purposes of subsection (2) of this section (if that subsection applies), the vehicle shall be deemed to have been furnished at that time;
(b) in addition to the payments provided for by subsection (1) or (2) of this section, the person who furnishes the vehicle shall be entitled to be paid the amount of any expenditure reasonably incurred by him in complying with the direction.
(4) Where a direction to furnish a vehicle is given under paragraph (b) of subsection (2) of section 226 of this Act, and after the giving of the direction a damage occurs to the vehicle (whether or not resulting in a total loss of the vehicle), then if the damage prevents the furnishing of the vehicle in pursuance of the requisitioning order, the provisions of this section shall apply as if the vehicle had been furnished notwithstanding that it may have been required to be furnished for the purpose of being purchased, subject however to the following modifications, that is-
(a) paragraphs (a), (b) and (c) of subsection (1) of this section shall have effect as if for the period therein mentioned there were substituted the period beginning with the giving of the direction and ending immediately after the occurrence of the damage;
(b) paragraph (b) of subsection (3) of this section shall have effect as if for the words "in complying with" there were substituted the words "by reason of anything done for the purpose of complying with".
(5) Where a person (in this section referred to as "a person interested") other than the person who is required to furnish a vehicle has an interest in the vehicle-
(a) the person who is required to furnish the vehicle shall notify the person known to him to be a person interested that the vehicle has been requisitioned;
(b) a person interested shall be entitled to recover from the person who is required to furnish a vehicle such part (if any) of the payment received by him for the vehicle as may be appropriate.
(6) The Second Schedule to this Act shall have effect as to the time for the making of payments and as to the determination of disputes under this section.
(7) Where, during the period for which possession of a vehicle is retained, a total loss of the vehicle occurs, then-
(a) for the purpose of paragraphs (a) and (b) of subsection (1) of this section and of the Second Schedule to this Act, the period shall be deemed to have come to an end immediately after the occurrence of the loss; and
(b) no claim shall be made for the return of the vehicle (if it still exists) or for payment in respect thereof other than such claim as is provided for by subsection (1) of this section.