reg 53O Consideration and payment of abandonment claims
(1) This regulation applies where an abandonment claim is made. (2) The abandonment security provider to whom the abandonment claim is made must within 7 days of receipt of the claim determine whether the seafarer is entitled to receive financial assistance. (3) An abandonment security provider who determines that a seafarer is entitled to receive financial assistance, whether in relation to the whole or any part of an abandonment claim, must within 14 days of receipt of the claim provide such assistance, whether or not there are further parts of the claim yet to be determined. (4) An abandonment security provider who in contravention of paragraph (2) fails to determine whether a seafarer is entitled to receive financial assistance in relation to the whole or part of an abandonment claim must within 14 days of receipt of the claim provide financial assistance in the amount claimed by the seafarer. (5) Where, in contravention of paragraph (3) or (4) financial assistance is not provided, the abandonment security provider must pay interest on the unpaid amount at the rate of 20% per year from the date of receipt of the claim. (6) An abandonment security provider who— (a) has provided financial assistance to a seafarer under paragraph (3); and (b) subsequently determines that the seafarer was not entitled to receive the financial assistance, may recover as a civil debt the amount of the financial assistance less any interest payable under paragraph (5). (7) In this regulation “abandonment claim” has the meaning given in regulation 53N(3).