OK, I think I understand now. Effectively, anyone who does a flying test outsude of a JAA member state is likely to be subject to this rule. Is this correct?
So, for example in my case, I hold FAA CPL/IR, but having completed the 14 exams I intend to fly the IR and CPL elements in the UK, at an approved organisation, leading to JAA license issue. The fact that I already hold a non-JAA license (and any concessions awarded with that in mind) has no bearing on this rule.
Is this a correct understanding? My apologies if I have got it hideously wrong!!
Dan.