LONDON GOVERNMENT Citation and commencement 1 This order may be cited as the Greater London Council (Transfer of Land and Housing Accommodation) (No. 3) Order 1981, and shall come into operation on 22nd May 1981. Interpretation 2 1 In this order— “ the deposited Schedule ” means the Schedule prepared in triplicate and entitled “Properties transferred by the Greater London Council (Transfer of Land and Housing Accommodation) (No. 3) Order 1981” which is signed by an Assistant Secretary in the Department of the Environment and as to which further provision is made in article 3; “ excluded property ” means land or housing accommodation described in the deposited Schedule but excluded from transfer by the terms of the said Schedule; “ the Council ” means the Greater London Council; “ the relevant date ” means the 1st July 1985; “ representative body ” means a body appearing to the Council to represent London borough councils; “ the Secretary of State ” means the Secretary of State for the Environment; “ the transferee ”, in relation to transferred property, means the Council of the London borough of Tower Hamlets; and “ transferred property ” means the land or housing accommodation described in the deposited Schedule (other than excluded property) and transferred by this order. 2 Without prejudice to the generality of section 23(5) of the London Government Act 1963, in this order, unless the context otherwise requires, any reference to housing accommodation shall include a reference to garages, parking spaces, shops and estate amenities. 3 Any reference in this order to a numbered article shall, unless that reference is to an article of a specified order, be construed as a reference to the article bearing that number in this order. 4 Any reference in an article of this order to a numbered paragraph shall, unless the reference is to a paragraph in a specified article, be construed as a reference to the paragraph bearing that number in the first-mentioned article. 5 Any reference in a Schedule to this order to a numbered paragraph shall, unless the reference is to a paragraph in a specified Schedule, be construed as a reference to the paragraph bearing that number in the first-mentioned Schedule. Deposited Schedule 3 1 One copy of the deposited Schedule is deposited in the offices of the Secretary of State, another in the principal office of the Council and the third, which shall be open for inspection at all reasonable times, in the principal office of the transferee. 2 For the purpose of enabling the Secretary of State to make such amendments to this order as may seem to him necessary or proper, the Council shall, not earlier than six nor later than three months before the relevant date, prepare and submit to the Secretary of State a revised version of the deposited Schedule, indicating which properties still belong to it. Transfer of property 4 1 On the relevant date the interest of the Council in the transferred property and (save as hereinafter provided) all liabilities attaching directly or indirectly to the Council in respect of its ownership or occupation of such property shall by virtue of this order be transferred to and vest in or attach to the transferee, and— a subject to articles 6 and 7, all contracts, deeds, bonds, agreements and other instruments subsisting in favour of, or against, and all notices in force which were given (or having effect as if they had been given) by, or to, the Council in respect of such property and liabilities shall be of full force and effect in favour of, or against, the transferee; and b subject to article 9, any action or proceeding or any cause of action or proceeding, pending or existing at the relevant date by, or against, the Council in respect of such property and liabilities shall not be prejudicially affected by reason of this order, and may be continued, prosecuted and enforced by, or against, the transferee. 2 Nothing in this order shall affect the exercise by the Council at any time earlier than three months before the relevant date of any right arising from its ownership of the transferred property. General words implied in transfer 5 Unless the Council and the transferee otherwise agree, section 62 of the Law of Property Act 1925 (which implies certain words in conveyances of land, subject to the terms of the conveyance and the provisions therein contained) shall have effect— a in respect of any transferred property; and b in respect of any property, being property vested in the Council, which is affected by the said transfer, as if the property described in (a) and (b) respectively had been the subject of a conveyance on the relevant date. Works of construction, modernisation etc. on transferred property 6 1 In this article— “ major works ” means any works on the transferred property:— for the construction, rehabilitation or modernisation of, or major works of improvement to, the property; or which arise from a major technical cause; and “ final certificate ” means the certificate of the architect or other supervisory officer with responsibility for the execution of major works certifying final payment in respect thereof. 2 Where a contract relating to or in connection with major works has been entered into by the Council before the relevant date, the Council may within three months thereof, by notice in writing given to the transferee, specify such a contract as being a notified contract for the purposes of this article, and in any such notice shall indicate whether a final certificate has been issued in respect of the works. 3 Any contract relating to or in connection with major works on the transferred property which is not specified in a notice under paragraph (2), or which is indicated therein as being the subject of a final certificate, shall be vested in the transferee under article 4 at the expiry of three months after the relevant date. 4 Any notified contract which is not stated in a notice under paragraph (2) to be the subject of a final certificate shall be vested in the transferee under article 4 at the expiry of 15 days after a final certificate is issued in respect thereof. 5 The Council may by notice in writing require the transferee to assign to the Council the benefit and burden of any contract which is vested in the transferee in accordance with this article, specifying the date on which such assignment shall take place, and on that date the transferee shall so assign the benefit and burden of the contract, notwithstanding any provision thereof or otherwise purporting to prohibit or restrict assignment. 6 Where any major works, not being the subject of a contract to which this article applies, have commenced but have not been completed (or with the agreement of the transferee been discontinued) at the relevant date, the Council shall, unless otherwise agreed with the transferee, complete the said works; and completion shall be deemed to take place upon the issue of a final certificate. 7 The transferee shall so far as it is able afford to the Council, its officers, employees, agents and contractors all such reasonable access to the transferred property and rights to use the same as the Council may require for the purpose of:— a carrying out works under a contract to which this article applies from the relevant date to the date on which the contract is vested in the transferee or at any date after the contract is assigned to the Council under paragraph (5), and b any major works falling within paragraph (6). 8 The Council shall determine, for the purposes of paragraphs (2) to (6), what works fall within paragraph (1)(b). 9 Schedule 1 to this order shall have effect in respect of works the subject of programmes to be prepared by the Council. 7 1 This article applies to any payment falling to be made under a contract to which article 6 applies at any time after the contract is vested in the transferee. 2 Where the payment falls to be made by the transferee, the Council shall indemnify the transferee in respect thereof; and where the transferee receives any payment in connection with works the subject of a programme prepared under Schedule 1, it shall be paid to the Council. 3 The transferee may deduct from any payment under paragraph (2) its proper legal costs and disbursements incurred thereon and not otherwise recovered by it. Legal proceedings 8 Any legal proceedings at the relevant date may be amended in such manner as may be necessary or proper in consequence of this order. Negligence and breach of statutory duty 9 1 The Council shall meet the full amount of any claim as to an act of negligence or breach of statutory duty made against, them by a third party in respect of any transferred property provided that such claim— a relates to an act or breach committed or occurring before the relevant date; and b is settled for an amount in excess of £250. 2 The transferee shall meet any such claim which is settled for an amount not exceeding £250. Covenants affecting transferred property 10 1 The Council shall notify the transferee of any land within the extent of an area of transferred property in respect of which the Council have power under section 151 of the Housing Act 1957 to enforce any covenant against an owner for the time being of the land and such notification shall provide sufficient particulars of the said covenant. 2 In respect of any such land— a the Council shall consult with the transferee before exercising their power under the said section 151; and b the transferee may require the Council to exercise the said power in any case where such exercise is required in the interests of the area of transferred property within the extent of which the land is situated. 11 Any covenant (not being a covenant to which article 10 applies) which would be enforceable by the Council immediately before the relevant date in respect of land within the extent of or adjoining an area of transferred property, being land which was sold or exchanged by the Council or by the London County Council and, immediately before such sale or exchange, was held by them for the purposes of the Housing Act 1957 or of any Act re-enacted by that Act, shall be of full force and effect in favour of the transferee. Sharing of transferred property and other land 12 Where it appears expedient— a to the Council for the purpose of any of their functions that the use of any transferred property; or b to the transferee for the purpose of managing, maintaining or repairing their housing land or accommodation that the use of any excluded property. should be shared between the Council and the transferee, the Council or the transferee (as the case may be) may serve a notice on the other party requiring terms (by way of lease or otherwise) to be agreed for the sharing of the said transferred or excluded property. Rent Books 13 1 In the case of any transferred property being premises to which the Landlord and Tenant Act 1962 applies, notification by the transferee to the tenant of the said property of the transfer effected by this order shall be deemed to be a compliance by the transferee with the requirements of section 2(1)(a) of the said Act. 2 Paragraph (1) shall cease to apply in respect of any such premises when the transferee first provides a rent book or other similar document for use in respect of the said premises. Byelaws 14 Any byelaw in force immediately before the relevant date for the regulation of any transferred property shall have effect as if it had been made by the transferee. Vehicles and plant 15 1 The Council shall before the relevant date make such a scheme as they may think fit for the transfer to the transferee of motor vehicles and plant belonging to the Council, being vehicles and plant wholly or partly kept and used in connection with the repair, maintenance or management of transferred property and on the relevant date the motor vehicles and plant which are the subject matter of the scheme shall be transferred to and vest in the transferee. 2 In making a scheme under paragraph (1) the Council shall have regard to the needs of the transferee in relation to the repair, maintenance or management of the transferred property and also to the needs of the Council in relation to their remaining property. 3 Articles 4 and 9 shall apply in respect of any motor vehicles and plant transferred under paragraph (1) as they apply in respect of transferred property. 4 In this article— “ motor vehicle ” shall have the same meaning as in section 190(1) of the Road Traffic Act 1972 ; and “ plant ” includes any equipment or machinery (other than a motor vehicle), whether or not moveable or mechanically operated, and other devices used in connection with the repair, maintenance or management of land or property. Goods and materials 16 1 All goods and materials belonging to the Council which on the relevant date are situate and normally kept on or in any transferred property shall on that date be transferred to and vest in the transferee. 2 As soon as may be after the relevant date the Council shall make a scheme or schemes for the sharing between the Council and the transferee of goods and materials transferred under paragraph (1) or for the value of such goods and materials to be adjusted between the Council and the transferee and on the coming into force of any such scheme the Council and the transferee shall give effect to it according to its terms. 3 In making a scheme under paragraph (2) the Council shall have regard to the needs of the transferee in relation to the repair, maintenance and management of the transferred property and to such needs of the Council in relation to their remaining property. 4 Articles 4 and 9 shall apply in respect of any goods and materials transferred under paragraph (1) as they apply in respect of transferred property. 5 In this article “ goods and materials ” means substances of all kinds, trade fittings and tools used in connection with the repair, maintenance or management of land or property. Nomination rights 17 Schedule 2 to this order shall have effect with respect to the rights of the Council to nominate tenants to dwellings comprised in transferred property. Consolidated loan funds 18 Where by virtue of this order any matter in respect of which, if this order had not been made, sums would have become due and owing to a consolidated loans fund or loans pool maintained by another authority on and after the relevant date, is transferred to the transferee, such sums shall be paid by the transferee to the authority by whom the fund is maintained. Transfer of outstanding debt 19 1 The transferee shall— a from the relevant date assume liability for all repayments of principal, interest and management expenses relating to the loan debt outstanding at that date, on the transferred properties (including the cost of the land) and due to the consolidated loans fund of the Council; b from the date on which payment is made or costs incurred under article 6(6), assume a similar liability in respect of any loan debt incurred by the Council after the relevant date in meeting the liabilities created by article 6; c discharge such liabilities by making payments to the Council of such amounts and at such times each year as shall be agreed between the Council and the transferee. 2 Where the transferee disposes of any transferred property, any capital sum received by the transferee as a result of the disposal shall first be applied to meet the outstanding loan debt (if any) attributable to that property. 20 Where under this order or any adjustment made in consequence hereof any liability or part of a liability charged indifferently on all the revenues of the Council or on any particular revenues or fund of the Council is transferred to the transferee, the liability or part of the liability, as the case may be, shall be charged indifferently on all the revenues of the transferee, and shall cease to be a charge on any revenues or fund of the Council. Housing grants and subsidies 21 The Council shall furnish the transferee with such information as the Secretary of State may require from the transferee in order to determine any question concerning housing grants or subsidies or the amount thereof. Payments in respect of housing accommodation generally, and net cost of transferred property 22 Schedule 3 to this order shall have effect in relation to payments between the Council and the transferee in respect of housing accommodation generally and the net cost of the transferred property. Review of certain financial terms 23 1 Without prejudice to any provision in Schedule 3 to this order for reviewing the terms contained in that Schedule, if an enactment is passed after the coming into operation of this order which in the opinion of the Council or of the transferee significantly affects those terms the Council or the transferee (as the case may be) may notify the other party that the said terms should be reviewed. 2 On the giving (or receiving) of a notification under paragraph (1) the Council, in consultation with the transferee, shall review the said terms and such other terms may be agreed as the Secretary of State may approve. 3 If the Council and the transferee, having held a review under paragraph (2), fail to agree such other terms as are therein mentioned the Secretary of State, on the application of the Council or of the transferee, may determine the said other terms. Arbitration 24 1 Subject to any provision of this order, any dispute arising under this order or in consequence thereof shall be determined by an arbitrator appointed by agreement between the parties in dispute or, in default of agreement, by the Secretary of State and, subject as aforesaid, the provisions of the Arbitration Act 1950 shall apply to any arbitration under this article. 2 Paragraph (1) shall include any dispute between the Council and the transferee— a under article 12 whether it is expedient that the use of any property should be shared, or b under article 15(2) or article 16(3), whether the Council has had any or sufficient regard to the needs of the transferee. Signed by authority of the Secretary of State Geoffrey Finsberg Parliamentary Under Secretary of State Department of the Environment 23rd April 1981