Victorian Numbered Acts Victorian Numbered Acts(1) A hirer may, in lieu of the notice period required by section 21, pay a contractor an amount calculated in accordance with this section.
(2) The amount is the gross amount less the deductible amount.
(3) The "gross amount" is the higher of—
(a) the amount that would be paid under the regulated contract for the minimum number of hours specified in the contract over the minimum required period of notice;
(b) the monthly average of the amount paid to the contractor by the hirer over the period of 6 months immediately before the termination multiplied by the number of months of the minimum required period of notice.
(4) The "deductible amount" is—
(a) if the relevant vehicle or motorised equipment is subject to finance arrangements at the time of termination, the amount of fixed overhead costs as provided in the most recent applicable rates and costs schedule that would be payable over the minimum required period of notice; or
(b) if the relevant vehicle or motorised equipment is not subject to finance arrangements at the time of termination, the amount of fixed and variable overhead costs as provided in the most recent applicable rates and costs schedule that would be payable over the minimum required period of notice.
(5) In this section—
"finance arrangements" includes any fees, interest, charges or expenses incurred by a contractor in respect of the purchase, hire purchase or lease of a vehicle or motorised equipment used to provide services under the regulated contract.