21. Compensation payable to lessee of pastoral lease, lease for timber purposes or lease for use and benefit of Aboriginal inhabitants for damage to improvements and consequential damage
(1) If a permittee, holder of a drilling reservation, lessee or licensee has by himself, his agent or his employee in the exercise or purported exercise of any of the powers conferred by or under this Act or by reason of any operation conducted or other action taken by him or any of them caused damage to any improvements on land leased by way of ¾
(a) a pastoral lease within the meaning of the Land Administration Act 1997, or a lease otherwise granted for grazing purposes only;
(b) a lease for timber purposes; or
(c) a lease for the use and benefit of the Aboriginal inhabitants,
he is liable, subject to section 24, to pay compensation to the person to whom that land is so leased (in this section and in section 22 called }the compensable lessee~ or }a compensable lessee~, as the case requires) for that damage and for any damage which the compensable lessee may, in the opinion of the Magistrates Court, suffer as a consequence of the damage to those improvements.
(2) A person liable to pay compensation to a compensable lessee under the provisions of this section may agree with the compensable lessee as to the amount of compensation including compensation for consequential damage.
(3) If an agreement is not made under subsection (2), the compensable lessee may commence an action for compensation before the Magistrates Court at the place nearest to the place at which the land is situated, or the person liable to pay compensation may so commence an action claiming a declaration as to the amount of compensation payable.
[Section 21 amended by No. 12 of 1990 s. 16; No. 78 of 1990 s. 7; No. 31 of 1997 s. 141; No. 59 of 2004 s. 141.]