(1) If:
(a) a person's claim for a compensation affected pension is granted; and
(b) immediately before the claim is granted, a compensation affected payment for which the person was qualified under the Social Security Act was not payable to the person under section 1165 of that Act because of a lump sum compensation payment made to the person or to the person's partner;
the person's pension is not payable to the person for the remainder of the period that was the person's lump sum preclusion period for the purposes of the Social Security Act.
(2) If:
(a) a person's claim for a compensation affected pension is granted; and
(b) immediately before the claim is granted, the person was receiving a compensation affected payment under the Social Security Act at a rate that was reduced under section 1173 of that Act because of periodic compensation payments made to the person or to the person's partner;
then, for the remainder of the period that was the person's periodic payments period for the purposes of the Social Security Act, the person's pension is to be reduced:
(c) by the amount ( reduction amount ) by which the person's compensation affected payment under the Social Security Act would be reduced under section 1173 of that Act if the person were still qualified for it; or
(d) if the reduction amount is greater than the amount of the person's pension--to nil.
(3) If:
(a) a person's claim for a compensation affected payment is granted; and
(b) immediately before the claim is granted, a compensation affected payment for which the person was qualified under the Social Security Act was not payable to the person because the rate of the person's pension was reduced to nil under section 1173 of that Act because of periodic compensation payments made to the person or to the person's partner;
then, for the purposes of subsection (2), the person is taken to have been receiving the compensation affected payment at a reduced rate immediately before the claim was granted.