Where, in a case falling within section 23(1) of this Act, the interest in land which was acquired or sold was subject to a settlement, and accordingly the compensation or purchase price was payable to the trustees of that settlement, any reference (however expressed) in section 23 or section 24 of this Act to the person entitled to the compensation or purchase price shall be construed as a reference to the trustees for the time being of the settlement.

Where sub-paragraph (1) of this paragraph applies, section 23(4) of this Act shall not apply.

Any compensation paid to the trustees of the settlement by virtue of section 23 of this Act in respect of a compulsory acquisition or sale by agreement shall be applicable by the trustees as if it were proceeds of the sale of the interest acquired or sold.

In this paragraph “settlement” means a settlement within the meaning of the M1Settled Land Act 1925, or a trust for sale within the meaning of the M2Law of Property Act 1925.