4. Where a death or injury in respect of which compensation is payable under these Regulations is caused under circumstances creating a legal liability upon some person to pay damages therefor, if any amount is recovered and collected in respect of such liability by or on behalf of the person to or on behalf of whom such compensation may be paid, the Commission, for the purpose of determining the amount of compensation to be paid, shall take into consideration any amount so recovered and collected in the manner set out in section 5.

• 5. (1) Where one-half of any amount recovered and collected as provided in section 4 is greater than the capitalized value of the compensation that might otherwise have been payable under these Regulations, no compensation shall be paid.

• (2) Where one-half of any amount recovered and collected as provided in section 4 is less than the capitalized value of the compensation that might otherwise have been payable under these Regulations, compensation in an amount that, if capitalized, would equal the difference between such amount and the capitalized value of the compensation that might otherwise have been payable under these Regulations, may be paid.

• (3) If any amount recovered and collected as provided in section 4, or any part thereof, is paid to Her Majesty, compensation in an amount that, if capitalized, would equal the amount so paid but would not in any event be greater than the total compensation that, apart from this section, would be payable under these Regulations, may be paid.

6. In addition to any compensation payable in accordance with section 3, compensation shall be paid in respect of the funeral expenses of

• (a) any employee who dies as a direct result of a non-scheduled flight undertaken by him in the course of his duties, or

• (b) any civil aviation inspector who dies as a direct result of any flight undertaken by him for the purpose of determining the competency of flight crew personnel, inspecting commercial air operations or monitoring in-flight cabin procedures in use in commercial air operations,

in an amount equal to the amount that would otherwise have been payable in respect of such expenses under the Government Employees Compensation Act if the claimant had not elected to accept compensation under these Regulations and had made a claim under that Act.

7. Any claim under these Regulations shall be adjudicated by the Canadian Pension Commission and any compensation payable under these Regulations shall be paid by the Canadian Pension Commission.