(1) An eligible person who is not a member stops being an eligible person:
(a) if he or she is not an incapacitated person referred to in paragraph (b) of the definition of incapacitated person in section 3--at the end of 2 years after the day on which his or her resignation, retirement or discharge from the Defence Force took effect; or
(b) if he or she is such an incapacitated person--on 1 December 1994.
(1A) However, the Secretary may determine in writing that a person covered by paragraph (1)(a) continues to be an eligible person for a specified period beyond the period of 2 years mentioned in that paragraph, if:
(a) the person is an incapacitated person; and
(b) the person satisfies the Secretary that the compensable disability that caused the person's discharge also caused, or contributed to, the person's failure to apply for an entitlement certificate within that 2 year period.
(1B) An application for a determination under subsection (1A) must be in writing.
(2) Subsection (1) does not apply to a person who has been an operational service member under subsection 3A(1).