The Health Act 1999 (Fund-holding Practices) (Transfer of Assets, Savings, Rights and Liabilities and Transitional Provisions) (Wales) Order 2000 No. 999 (W. 56)

PART III LIABILITIES AND COSTS TO BE MET BY HEALTH AUTHORITIES

Use of transferred assets

4.—(1) Subject to paragraph (2), where—

(a) any assets have been transferred to the Health Authority in accordance with article 2; and

(b) in accordance with articles 3, 5, or 6, any liability is enforceable against the Health Authority, or any cost is to be met by the Health Authority,

the Health Authority shall secure that the liability or cost shall first be met out of the transferred assets.

(2) Where liabilities and costs exceed the total value of the transferred assets they shall be met from the transferred assets in the following order—

(a) costs incurred in preparation of the accounts as set out in article 5;

(b) the cost of meeting rights and liabilities retained by the former members of the fund-holding practice as set out in article 6;

(c) the cost of meeting rights and liabilities transferred to the Health Authority in accordance with article 3.