61 Compensation where licence modified on direction of the Secretary of State

61  Compensation where licence modified on direction of the Secretary of State

(1)     Where a licence [held by a person other than a water undertaker or sewerage undertaker] is revoked or varied in pursuance of a direction under section 54 or [56] above and it is shown that the holder of the licence—

(a)     has incurred expenditure in carrying out work which is rendered abortive by the revocation or variation; or

(b)     has otherwise sustained loss or damage which is directly attributable to the revocation or variation,

the [appropriate agency] shall pay him compensation in respect of that expenditure, loss or damage.

(2)     For the purposes of this section, any expenditure incurred in the preparation of plans for the purposes of any work, or upon other similar matters preparatory to any work, shall be taken to be included in the expenditure incurred in carrying out that work.

(3)     Subject to subsection (2) above and to Schedule 7 to this Act, no compensation shall be paid under this section—

(a)     in respect of any work carried out before the grant of the licence which

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