(1) This section applies if:
(a) apart from this section, the Commonwealth would be liable to pay an amount of compensation, worked out in accordance with subsection 125(1) or section 126, of $150 or less for a person's incapacity for work for a week; and
(b) the person:
(i) is engaged in work; or
(ii) is receiving a pension under a Commonwealth superannuation scheme; or
(iii) has received a lump sum under a Commonwealth superannuation scheme; and
(c) the Commission is satisfied that the degree of the person's incapacity is unlikely to change; and
(d) the person advises the Commission in writing that he or she chooses to receive a lump sum under this Division rather than weekly payments.
Note 1: The Commonwealth might later be liable for weekly compensation if the person becomes unable to engage in work or stops receiving superannuation (see section 139).
Note 2: The amount of $150 is indexed under section 404.
(2) Instead of being liable to pay compensation for that week and future weeks, the amount of compensation that the Commonwealth is liable to pay is the amount of the lump sum worked out using the following formula:
Note: This section might be affected by the following provisions:
(a) sections 50, 52 and 329 (failure to undergo examination or rehabilitation program);
(b) section 122 (persons who are imprisoned);
(c) subsection 125(3) (nil and negative amounts).
(3) In this section:
"n" means the number worked out using the formula:
where:
"number of days" means the number of days in the period beginning on the day after the day on which the person advises the Commission of his or her choice under paragraph (1)(d) and ending:
(a) if the person's service injury is sustained, or service disease is contracted, before the person turns the age that is 2 years before pension age--on the day before the person turns pension age; and
(b) if the person's service injury is sustained, or service disease is contracted, on or after the day on which the person turns the age that is 2 years before pension age--on the day before the person is no longer entitled to compensation under this Part.
"specified number" means the number specified in writing (in decimal notation) by the Commission for the purposes of this definition.
"weekly amount" means the amount payable to the person under section 118 for the week in which the person advises the Commission of his or her choice under paragraph (1)(d).