Ordnance Factories and Military Services Act 1984

Section 3.

SCHEDULE 1 Operation of Schemes

Third parties

1 Where any property, right or liability is transferred by virtue of a provision made under section 1, the transfer shall be binding on all persons (and not only on the transferor and transferee), and shall be so binding notwithstanding that it would, apart from this paragraph, have required the consent or concurrence of any other person.

2 (1) This paragraph applies where, in consequence of a transfer of anything by virtue of a provision made under section 1, any right or liability of a person (other than the transferor or transferee) which was enforceable against or by the transferor becomes enforceable against or by the transferee.

(2) In this paragraph references to a third party are to a person whose right or liability becomes enforceable as mentioned in sub-paragraph (1).

(3) The Secretary of State shall take reasonable steps to identify any third party and to notify him of the effect of the transfer on any of his rights or liabilities and of the effect of sub-paragraph (4).

(4) If the value of any property or interest of a third party is diminished by any of his rights or liabilities becoming enforceable as mentioned in sub-paragraph (1), the Secretary of State shall pay to the third party such compensation as is just.

(5) Any dispute as to whether, and if so how much, compensation is so payable shall be referred to and determined by an arbitrator appointed by the Lord Chancellor or, where the proceedings are to be held in Scotland, by an arbiter appointed by the Lord President of the Court of Session.

(6) Any expenses incurred by the Secretary of State in consequence of this paragraph shall be paid out of money provided by Parliament.

3 In paragraphs 1 and 2 "transferee" and "transferor", in relation to a transfer, mean respectively a person to whom, and one from whom, the transfer is made.

Construction of transactions etc.

4 (1) This paragraph relates to any agreement made, transaction effected or other thing (not contained in an enactment) which—

(a) has been done by, to or in relation to a transferor under a scheme,

(b) relates to any property, right or liability transferred from the transferor in accordance with the scheme, and

(c) is in force or effective immediately before the day on which the scheme comes into force.

(2) The agreement, transaction or other thing shall have effect on and after that day as if made, effected or done by, to or in relation to the corresponding transferee under the scheme.

(3) Accordingly, references to the transferor which relate to or affect any property, right or liability of the transferor vesting by virtue of the scheme in the transferee, and which are contained—

(a) in any agreement (whether or not in writing), deed, bond or instrument,

(b) in any process or other document issued, prepared or employed for the purpose of any proceeding before a court or other tribunal or authority, or

(c) in any other document whatever (other than an enactment) relating to or affecting any property, right or liability of the transferor which vests by virtue of the scheme in the transferee,

shall be taken on and after that day to refer to the transferee concerned.

5 (1) This paragraph applies where, immediately before the day on which a scheme comes into force, there is in force an agreement which—

(a) confers or imposes on a transferor under the scheme any right or liability transferred from the transferor in accordance with the scheme, and

(b) refers (in whatever terms and whether expressly or by implication) to an officer or employee of the transferor.

(2) In relation to anything falling to be done on or after that day, the agreement shall have effect as if for that reference there were substituted a reference to such person as the corresponding transferee under the scheme may appoint or, in default of appointment, to the officer or employee of the transferee who corresponds as nearly as may be to the officer or employee concerned of the transferor.

6 In paragraphs 4 and 5 " transferee " and " transferor ", in relation to a scheme, mean respectively a person to whom, and one from whom, the scheme provides for a transfer.

Certificate of vesting

7 Where any property, right or liability vested at any time in any person by virtue of a provision made under section 1, a certificate by the Secretary of State that any thing specified in the certificate so vested in any person so specified shall be conclusive evidence for all purposes of that fact.

Exceptions

8 Paragraphs 1, 4 and 5 shall have effect subject to any express exception made in the scheme concerned.