7.—(1) The Department may direct that two or more institutions of further education shall be amalgamated to form a single new institution of further education (in this Article referred to as “the new institution”).
(2) Before giving any direction under this Article affecting any institutions of further education, the Department shall consult—
(a)the governing bodies of those institutions;
[F1(b)the Authority; and]
(c)the governing bodies of such institutions of further education and such other persons as appear to the Department to be appropriate.
(3) A direction under this Article providing for the amalgamation of two or more institutions of further education shall specify the date (referred to in this Article as “the implementation date”) on which the amalgamation is to take effect.
(4) Where the Department issues a direction under this Article, it shall be the duty of the governing bodies of the institutions of further education affected by the direction to take all such steps as are necessary to give effect to the direction.
(5) The Department shall, not later than the implementation date, ensure—
(a)that an instrument of government and articles of government are made for the new institution; and
(b)that a governing body is established for the new institution under this Order.
(6) On the implementation date—
(a)all property, rights and liabilities of the governing bodies of the institutions affected by the direction shall be transferred to, and by virtue of this Article vest in, the governing body of the new institution;
(b)the institutions affected by the direction shall cease to exist; and
(c)the governing bodies of those institutions shall be dissolved.
(7) A contract of employment between a person and the governing body of an institution of further education affected by a direction under this Article shall have effect from the implementation date as if originally made between that person and the governing body of the new institution.
(8) Without prejudice to paragraph (7)—
(a)all the rights, powers, duties and liabilities of the governing body of the institution affected by the direction under or in connection with a contract to which that paragraph applies shall by virtue of this Article be transferred to the governing body of the new institution on the implementation date; and
(b)anything done before that date by or in relation to the governing body of the institution affected by the direction in respect of that contract or the employee shall be deemed from that date to have been done by or in relation to the governing body of the new institution.
(9) Paragraphs (7) and (8) are without prejudice to any right of an employee to terminate his contract of employment if a substantial change is made to his detriment in his working conditions, but no such right shall arise by reason only of the change in employer effected by this Article.
(10) Any land or other property transferred to the governing body of the new institution under this Article which immediately before the implementation date was held on trust shall vest in that body as trustee on the trusts applicable immediately before that date under any trust deed regulating the use of the land or other property for the purposes of an institution of further education.
(11) Stamp duty shall not be chargeable in respect of any transfer effected by this Article.
(12) For the purposes of this Article an institution of further education is affected by a direction under this Article if, and only if, it is one of the institutions which are to be amalgamated in pursuance of the direction.
F1Art. 7(2)(b) substituted (1.4.2015) by Education Act (Northern Ireland) 2014 (c. 12), s. 7(2)(c), Sch. 3 para. 18(2) (with Sch. 2 para. 4(3)); S.R. 2015/35, art. 2(b)