Insurer may require claimant to commence court proceedings
6.33 Insurer may require claimant to commence court proceedings
The insurer of a person against whom a claim is made may give the claimant notice requiring the claimant to commence court proceedings in respect of the claim if the claimant has been entitled to commence the proceedings for a period of at least 6 months.
The claimant must comply with the notice within 3 months after its receipt.
If the claimant does not comply with the notice as required by this section, the claimant is taken to have withdrawn the claim.
A claimant whose claim is taken to have been withdrawn by the operation of this section may apply to a court of competent jurisdiction for reinstatement of the claim.
The court may reinstate the claim if the court is satisfied that the claimant has a full and satisfactory explanation for the failure to comply with the notice.
This Act’s bill:Explanatory memorandumSecond reading speech
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