Corrections and Conditional Release Regulations (SOR/92-620)

137. The Minister or authorized person shall not pay compensation where the Minister or authorized person determines that, because of the place or circumstances in which the claimant is living, the claimant would not be or would no longer be a dependant if the deceased inmate or person on day parole was still living.

138. The Minister or authorized person shall not pay compensation unless the claimant or a person legally authorized to act on behalf of the claimant signs

• (a) a release of any right of action that the claimant may have against Her Majesty in right of Canada arising from the incident giving rise to the claim; and

• (b) an undertaking that the claimant will, when requested to do so by the Service, co-operate with the Service, other than in a pecuniary manner, in any action, proceeding or appeal that the Service undertakes against any other person arising out of the incident giving rise to the claim.

139. The Minister or authorized person may refuse to make a payment or may discontinue payments to a person who is claiming or who is in receipt of compensation for a disability if the person

• (a) fails to submit to a medical examination within a reasonable time after being requested to do so by the Minister or authorized person, or by Labour Canada for the purpose of making an assessment;

• (b) fails to verify the occurrence or continuance of the disability within a reasonable time after being requested to do so by the Minister or authorized person, or by Labour Canada for the purpose of making an assessment;

• (c) neglects to seek or refuses to receive medical care that the Minister or authorized person has determined, after consultation with the medical profession and Labour Canada, is necessary for the disability; or

• (d) fails to comply with an undertaking referred to in paragraph 138(b).

• 140. (1) Subject to subsections (2) and (3), where an action is brought against a person other than Her Majesty in right of Canada for damages in respect of an incident that could give rise to a claim for compensation by the person bringing the action, before or after a claim for compensation is made, the Minister or authorized person shall not pay compensation until the final disposition of the action.

• (2) Where a decision made in an action referred to in subsection (1) awards damages in an amount less than the total amount that would be payable under section 22 of the Act, the Minister or authorized person may pay compensation that, in the aggregate, does not exceed the difference between the awarded damages and the total amount.

• (3) Where an action referred to in subsection (1) is dismissed or discontinued, the Minister or authorized person may pay compensation as if the action had not been brought.

• (4) For the purposes of subsection (2), awarded damages include an amount payable pursuant to a consent judgment or settlement, if the Minister or authorized person has agreed, in writing, to the consent judgment before it is issued or to the settlement before it is concluded.

141. Where the Service brings an action against a person other than a claimant in respect of the death or disability of an inmate or a person on day parole and recovers damages exceeding the total amount of the compensation payable pursuant to section 22 of the Act, the Service shall pay to the claimant the difference between the damages recovered and the total amount, minus the cost of bringing the action.