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(1)Subject to section 2 above, where by virtue of the Agreement (as it has effect on the date on which it comes into force) it is necessary for a purpose mentioned in section 2(2)(a) or (b) of the 1972 Act that any relevant provision should have effect with modifications which can be ascertained from the Agreement, then on and after that date the provision shall have effect with those modifications.
(2)A Minister of the Crown may by regulations modify or exclude the operation of subsection (1) above in relation to a relevant provision where it appears to him appropriate to do so because of the suspension of any part of the Agreement in accordance with the terms of the Agreement.
(3)Subsection (1) above shall not be regarded—
(a)as providing for modifications the effect of which is achieved through the operation, by virtue of the Agreement, of section 2(1) of the 1972 Act, or
(b)as prejudicing any power to make provision for the purpose of implementing any obligation of the United Kingdom created or arising by or under the Agreement, or for any other purpose mentioned in section 2(2)(a) or (b) of the 1972 Act relating to the Agreement;
and any instrument made for such a purpose under section 2(2) of the 1972 Act or under any other enactment may exclude the operation of subsection (1) above.
(4)Subsection (1) above shall not apply so as to require a modification if that modification, or a corresponding modification limited so as to relate only to the [F1European Union],—
(a)could have been made, by Act passed before the date on which the Agreement comes into force, for a purpose mentioned in section 2(2)(a) or (b) of the 1972 Act, but
(b)was not made (by that or other means).
(5)In this section “relevant provision” means—
(a)a provision of an Act passed, or of any subordinate legislation made, before the date on which the Agreement comes into force;
(b)a provision of any other instrument made before that date by a person as against whom the effect of a directive issued by [F2an] [F2EU] institution (if such a directive were relevant) might be relied upon in proceedings to which he was a party.
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