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Section 8(1).

SCHEDULE 4 Transfer of Tunnels and Tunnel Approaches: Supplementary and Transitional Provisions

Connected transfers and supplementary provisions

1 Subject to paragraph 3 below, the Secretary of State and the Council concerned or, in the case of property or liabilities acquired or incurred by the Councils jointly, the Secretary of State and both the Councils may agree, on such terms as they think fit—

(a) that any property or liabilities (except loans and loan charges) acquired or incurred by that Council, or by the Councils jointly, for the purposes of any of their functions in relation to the tunnel crossing or the tunnel approaches, other than property or liabilities otherwise transferred by virtue of section 6 or 7 of this Act, shall be transferred to him; or

(b) that any property or liabilities transferred to the Secretary of State by virtue of section 6 shall be transferred back to the transferor.

2 (1) Subject to sub-paragraph (2) and paragraph 3 below, where section 7 of this Act applies the Secretary of State may direct—

(a) that any such property or liabilities as are mentioned in paragraph 1(a) above shall be transferred to him or to the person appointed under section 11 of this Act to levy tolls; or

(b) that any property or liabilities transferred to the Secretary of State or to that person by virtue of section 6 or 7 of this Act—

(i) shall be transferred back to the transferor; or

(ii) in the case of property or liabilities transferred to the Secretary of State, shall be transferred to the person appointed; or

(iii) in the case of property or liabilities transferred to that person, shall be transferred to the Secretary of State;

and any property which is the subject of a direction under this paragraph is transferred and vests by virtue of this paragraph in the person to whom in accordance with the direction it is to be transferred.

(2) Before giving a direction under sub-paragraph (1) above, the Secretary of State shall consult the Councils and, if he proposes to give a direction with respect to a transfer to or from the person appointed, that person.

3 Paragraphs 1(b) and 2(1)(b) above do not apply in relation to—

(a) the tunnel crossing;

(b) the tunnel approaches; or

(c) any easement or right in or over land.

4 Any property—

(a) vested by virtue of section 6 of this Act or paragraph 2 above in the Secretary of State; or

(b) vested by virtue of section 7 of this Act or paragraph 2 above in the person appointed under section 11 of this Act to levy tolls;

shall be held by the transferee subject to all covenants, conditions and restrictions subject to which the property was held by the transferor and to all liabilities affecting the property, except liabilities excluded from transfer by section 6(3)(a).

5 Any dispute as to the effect of any transfer under section 6 or 7 of this Act or paragraph 2 above shall be determined by arbitration.

6 The Councils shall produce to the Secretary of State such documents and furnish to him such other information relating to—

(a) their functions in relation to the tunnel crossing or the tunnel approaches; and

(b) any property and liabilities of theirs in respect of the tunnel crossing or the tunnel approaches;

as he may require.

Transitional provisions

7 All orders and regulations made and all directions, consents and notices given with respect to the tunnel highway or the tunnel approaches, if they were in force immediately before the transfer date, have effect with respect to that highway or those approaches as if made or given by the Secretary of State; but nothing in this paragraph is to be taken as transferring to the Secretary of State any liability not otherwise transferred to him by virtue of section 6 of this Act or paragraph 2 above.

8 Notwithstanding the repeal by this Act on the transfer date of section 35 of the 1984 Act (power of the Councils to make byelaws regulating the tunnels and their approaches, etc.), any byelaws which immediately before that date are in force under that section shall continue to have effect and may be varied or revoked by an order made by the Secretary of State.

9 All contracts, deeds, bonds or agreements entered into or made by either of the Councils (or by them jointly) and subsisting immediately before the effective date of any transfer under section 6 or 7 of this Act or paragraph 2 above, in so far as they relate to property or liabilities transferred—

(a) by virtue of section 6 of this Act or paragraph 2 above to the Secretary of State; or

(b) by virtue of section 7 of this Act or paragraph 2 above to the person appointed under section 11 of this Act to levy tolls;

shall have effect with the substitution of the transferee for the transferor and may be enforced by or against the transferee accordingly.

10 All proceedings, legal or other, begun before the effective date of any such transfer and relating to any such property or liabilities, may be carried on with the substitution of the transferee as party to the proceedings in lieu of the transferor, and any such proceedings may be amended in such manner as may be necessary for that purpose.

Sections 8(2) and 14(6).

SCHEDULE 5 Transfers of Staff

Part I Staff Employed at the Tunnel Crossing Before the Transfer Date

Application of Employment Transfer Regulations

1 (1) For the purposes of the Employment Transfer Regulations section 6 or, where section 7 applies, section 7 of this Act shall be treated (without prejudice to any effect it may have for those purposes apart from this sub-paragraph) as effecting on the transfer date a transfer to which those regulations apply of an undertaking in which all relevant employees of Kent County Council were then employed.

(2) In their application in relation to any transfer of an undertaking effected, or treated by virtue of sub-paragraph (1) above as effected, by section 6 or 7 of this Act, those regulations shall be subject to the following provisions of this paragraph.

(3) Subject to sub-paragraph (4) below, where section 7 of this Act applies the transferee for the purposes of those regulations in relation to all relevant employees shall be taken to be the person appointed under section 11 of this Act to levy tolls.

(4) In relation to any relevant employees who immediately before the transfer date were employed by that Council in activities carried on for the purposes of or in connection with the exercise by the Councils of any function which on that date becomes a function of the Secretary of State, sub-paragraph (3) above shall not apply unless the function in question is subject to an agreement taking effect on that date for the delegation of that function under section 12 of this Act to the person appointed.

(5) The transferee for the purposes of those regulations shall be taken to be the Secretary of State—

(a) where section 7 of this Act does not apply; or

(b) in relation to any relevant employees who by virtue of sub-paragraph (4) above do not fall, following the transfer, to be treated by virtue of regulation 5 of those regulations as employed by the person appointed.

Provision with respect to pensions, etc.

2 (1) The application to any relevant employee of Kent County Council whose contract of employment is preserved by regulation 5(1) of the Employment Transfer Regulations of new pension terms applied to that employee by the transferee on the transfer of the undertaking shall be regarded as a change in his terms of employment made by the transferee after the transfer (and not as arising by virtue of the transfer).

(2) Accordingly, the application to the employee of the new pension terms—

(a) shall be treated as a change in his terms of employment falling within section 4(1) of the [1978 c. 44.] Employment Protection (Consolidation) Act 1978 (written notification of changes in terms of employment); and

(b) shall not be regarded for the purposes of subsection (4) of that section (which excludes the requirement of a full statement of terms under section 1 of that Act from applying where there is a change of identity of an employer without a break in continuity of employment, except where other changes are involved) as a change involved in the change in the identity of his employer arising from the transfer of the undertaking.

(3) In this paragraph “pension terms” means terms with respect to any matters to which regulations 5 and 6 of the Employment Transfer Regulations are excluded from applying by regulation 7 of those regulations.

Part II Staff Employed by the Person Appointed to Levy Tolls

Application of Employment Transfer Regulations

3 (1) For the purposes of the Employment Transfer Regulations section 14 of this Act shall be treated (without prejudice to any effect it may have for those purposes apart from this sub-paragraph) as effecting on the termination of the appointment of the person appointed under section 11 of this Act to levy tolls a transfer to which those regulations apply of an undertaking in which all persons who immediately before termination were employees of that person were then employed.

(2) In their application in relation to any transfer of an undertaking effected, or treated by virtue of sub-paragraph (1) above as effected, by section 14 of this Act, those regulations shall be subject to paragraph 4 below.

Preservation of pensions, etc.

4 Regulation 7 of the Employment Transfer Regulations shall not apply—

(a) in relation to the contract of employment of any person employed in the undertaking; or

(b) in relation to any collective agreement in its application in relation to any person so employed.

5 (1) Without prejudice to the operation of those regulations by virtue of paragraph 4 above and to any effect that sections 14 and 15 of this Act may have apart from this paragraph, any rights and liabilities of the person appointed under any agreement or arrangement for the payment of pensions, allowances or gratuities to or in respect of persons who are or have been employed by him are on the termination of his appointment transferred to, and vest in, the Secretary of State by virtue of this paragraph.

(2) Accordingly—

(a) references to the person appointed in any such agreement or arrangement, and in any other agreement, deed, bond, instrument or other document whatsoever relating to or affecting any such rights or liabilities, shall be taken after termination as referring to the Secretary of State ; and

(b) for the purposes of any such agreement or arrangement as it has effect after termination any period of employment with any person which immediately before termination falls to be taken into account for any purposes of that agreement or arrangement shall count as a period of employment with the Secretary of State.

Part III Supplementary

6 (1) In this Schedule, “the Employment Transfer Regulations” means the [S.I. 1981/1794.] Transfer of Undertakings (Protection of Employment) Regulations 1981.

(2) Expressions used in this Schedule to which a meaning is given by those regulations have the same meaning in this Schedule.