# Compensation for damage to electronic equipment or data

> act-s268CY — as in force on 2026-06-04 — C2026C00232 · Compilation No. 171 — https://www.legislation.gov.au/C2026C00232/latest/text

268CY Compensation for damage to electronic equipment or data
          (1) This section applies if:
               (a) damage is caused to equipment as a result of it being
                    operated as mentioned in section 268CO; or
               (b) the data recorded on the equipment is damaged or programs
                    associated with its use are damaged or corrupted;
              because:
               (c) insufficient care was exercised in selecting the person who
                    was to operate the equipment; or
               (d) insufficient care was exercised by the person operating the
                    equipment.
          (2) The Commonwealth must pay the owner of the equipment, or the
              user of the data or programs, such reasonable compensation for the
              damage or corruption as they agree on.









          (3) However, if the owner or user and the Commonwealth fail to
              agree, the owner or user may institute proceedings in the Federal
              Court for such reasonable amount of compensation as the Court
              determines.
          (4) In determining the amount of compensation payable, regard is to
              be had to whether the occupier of the premises and his or her
              employees and agents, if they were available at the time, provided
              any appropriate warning or guidance on the operation of the
              equipment.
          (5) Compensation is payable out of money appropriated by the
              Parliament.
          (6) For the purposes of subsection (1), damage to data includes
              damage by erasure of data or addition of other data.
