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PART I, AIR TRAFFIC - continued

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  CHAPTER II
  TRANSFER SCHEMES
 
Introduction
Meaning of transfer scheme.     38. - (1) For the purposes of this Chapter a transfer scheme is a scheme which contains provisions falling within one or more of subsections (2) to (8).
 
      (2) Provisions falling within this subsection are ones for the transfer of any of the CAA's property, rights or liabilities or of all or part of its undertaking to any of the following-
 
 
    (a) the Secretary of State;
 
    (b) a company which is wholly owned by the Crown;
 
    (c) a company which is wholly owned by the CAA;
 
    (d) a company which is a wholly owned subsidiary of a company falling within paragraph (b) or (c).
      (3) Provisions falling within this subsection are ones for the transfer of any of the property, rights or liabilities of a company (the transferor) which is wholly owned by the CAA or of all or part of the transferor's undertaking to any of the following-
 
 
    (a) the Secretary of State;
 
    (b) the CAA;
 
    (c) a company which is wholly owned by the Crown;
 
    (d) a company which is wholly owned by the CAA;
 
    (e) a company which is a wholly owned subsidiary of a company falling within paragraph (c) or (d).
      (4) Provisions falling within this subsection are ones for the transfer of any of the property, rights or liabilities of a company (the transferor) which is a wholly owned subsidiary of a company wholly owned by the CAA, or of all or part of the transferor's undertaking, to any of the following-
 
 
    (a) the CAA;
 
    (b) a company which is wholly owned by the Crown;
 
    (c) a company which is wholly owned by the CAA;
 
    (d) a company which is a wholly owned subsidiary of a company falling within paragraph (b) or (c).
      (5) Provisions falling within this subsection are ones for the transfer of any of the property, rights or liabilities of a company (the transferor) which is wholly owned by the Crown but which was wholly owned by the CAA on the coming into force of this section, or of all or part of the transferor's undertaking, to any of the following-
 
 
    (a) a company which is wholly owned by the Crown;
 
    (b) a company which is a wholly owned subsidiary of the transferor.
      (6) Provisions falling within this subsection are ones for the transfer of any of the property, rights or liabilities of a company (the transferor) which is wholly owned by the Crown, or of all or part of the transferor's undertaking, to the CAA.
 
      (7) Provisions falling within this subsection are ones for the transfer of any of the property, rights or liabilities of a company (the transferor) in circumstances where the transferor is a wholly owned subsidiary of a company (the holding company) wholly owned by the Crown and the holding company was wholly owned by the CAA on the coming into force of this section, or of all or part of the transferor's undertaking, to any of the following-
 
 
    (a) a company which is wholly owned by the Crown;
 
    (b) a company which is a wholly owned subsidiary of a company falling within paragraph (a).
      (8) Provisions falling within this subsection are ones for the transfer of any of the property, rights or liabilities of a company (the transferor) which is a wholly owned subsidiary of a company wholly owned by the Crown, or of all or part of the transferor's undertaking, to the CAA.
 
      (9) To the extent that a scheme provides for the transfer of all or part of an undertaking, references in the following provisions of this Chapter to property, rights and liabilities are to the undertaking or part (including property, rights and liabilities falling within it).
 
Transfer schemes: supplementary.     39. - (1) The things which may be transferred by a transfer scheme include-
 
 
    (a) anything which the transferor would not otherwise be capable of transferring or assigning;
 
    (b) anything to which the transferor may become entitled or subject after the scheme is made and before it comes into force;
 
    (c) anything situated anywhere in the United Kingdom or elsewhere;
 
    (d) anything subsisting under an enactment;
 
    (e) anything subsisting under the law of any part of the United Kingdom or of any country or territory outside the United Kingdom.
      (2) A scheme may divide any property, rights or liabilities of a transferor and in connection with the division may-
 
 
    (a) create for a transferor or transferee an interest in any property to which the scheme relates;
 
    (b) create new rights and liabilities as between a transferor and a transferee with respect to any property to which the scheme relates;
 
    (c) in connection with any provision made by virtue of paragraph (a) or (b), make incidental provision as to the interests, rights and liabilities of other persons with respect to any property to which the scheme relates.
      (3) A scheme may impose obligations on a transferor and transferee to take any necessary steps to secure that the following have effect-
 
 
    (a) any interest, right or liability created by virtue of subsection (2)(a) or (b);
 
    (b) any incidental provision made by virtue of subsection (2)(c).
      (4) A scheme may-
 
 
    (a) impose on a transferor or transferee an obligation to enter into a specified written agreement with a specified person or persons (who may be or include a transferor or transferee);
 
    (b) impose on a transferor or transferee an obligation to execute a specified instrument in favour of a specified person or persons (who may be or include a transferor or transferee);
 
    (c) make provision (for instance, where part of particular property is transferred) that rights and liabilities specified or identified in the scheme are enforceable by or against a transferor or transferee (or both).
      (5) A scheme may make such supplementary, incidental, consequential or transitional provisions as the scheme's maker thinks are appropriate.
 
 
CAA's schemes
Transfer schemes made by CAA.     40. - (1) After consulting the CAA the Secretary of State may give a direction requiring it to make a transfer scheme.
 
      (2) A direction may specify how a scheme is to be made and the time within which it is to be made and submitted to the Secretary of State (as well as what is to be transferred, the transferor and the transferee).
 
      (3) In so far as a direction conflicts with the requirements of an enactment or instrument, the requirements are to be disregarded.
 
Effect of scheme made by CAA.     41. - (1) This section applies to a scheme made under section 40.
 
      (2) A scheme does not come into force unless the Secretary of State approves it in writing.
 
      (3) Subject to that, a scheme comes into force on-
 
 
    (a) the day it specifies for it to come into force, or
 
    (b) if the approval specifies a day for it to come into force, that day.
      (4) The Secretary of State may modify a scheme before approving it and after consulting each person who is a transferor or a transferee.
 
      (5) When a scheme comes into force it has effect to transfer (in accordance with its provisions) the property, rights and liabilities to which it applies.
 
      (6) Any transferor or transferee (other than the Secretary of State) must provide the Secretary of State with any information and other assistance he may reasonably require in connection with his powers to approve and modify under this section.
 
      (7) If a body fails without reasonable excuse to comply with subsection (6) it is guilty of an offence and liable on summary conviction to a fine not exceeding level 5 on the standard scale.
 
      (8) In this section "modify" includes add to, omit from and otherwise alter.
 
 
Secretary of State's schemes
Transfer schemes made by Secretary of State.     42. - (1) This section applies if-
 
 
    (a) the CAA fails to submit a transfer scheme within the time specified in a direction under section 40, or
 
    (b) the Secretary of State does not approve a transfer scheme submitted by the CAA.
      (2) In such a case the Secretary of State may make a transfer scheme after consulting each person who is a transferor or a transferee.
 
      (3) A scheme made under this section comes into force on the day it specifies for it to come into force.
 
      (4) When the scheme comes into force it has effect to transfer (in accordance with its provisions) the property, rights and liabilities to which it applies.
 
 
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