(1) Subject to section 11, as soon as practicable after receiving a claim made in accordance with section 10, AA must consider the claim and decide to:
(a) pay the full amount of compensation claimed; or
(b) refuse to pay any amount of compensation claimed; or
(c) refuse to pay the full amount of compensation claimed and pay a part of the compensation claimed.
Note: Decisions about claims are reviewable under section 39.
(2) AA must give notice to the claimant of a decision under subsection (1).
(3) The notice must include:
(a) a statement of reasons for the decision; and
(b) a statement to the effect that a person whose interests are affected by the decision may:
(i) apply to AA for review of the decision in accordance with section 39; and
(ii) subject to the Administrative Review Tribunal Act 2024 , apply to the Administrative Review Tribunal for a review of a decision made by AA under subsection 39(3).
(4) In making a decision under subsection (1), AA must have regard to the following:
(a) any evidence provided by the claimant;
(b) if the claim is for compensation for loss sustained as a result of the requisitioning of an aircraft:
(i) charter rates applicable to an aircraft of that type; and
(ii) the connection between any expense claimed and the use, during the period of the requisition, of the aircraft; and
(iii) the likely cost of repairing any damage to the aircraft that occurred as a result of its use during the period of the requisition, including the cost of restoring the aircraft to the condition it was in immediately before it was requisitioned;
(c) if the claim is for compensation for an injury to a person--the amount that would be payable in respect of the injury in accordance with the Safety, Rehabilitation and Compensation Act 1988 .