14Transitional provisions if business sold

14 Transitional provisions if business sold

(1)  In this section –

transferring business means the business of TOTE Tasmania, or of a TOTE subsidiary, that the Treasurer agrees to sell.

(2)  If the business of TOTE Tasmania or of a TOTE subsidiary is sold, on and after the sale day the following provisions apply except as otherwise agreed, in writing, by the Treasurer and the purchaser:

(a) a reference in an existing document to TOTE Tasmania, or the TOTE subsidiary, in relation to the transferring business is taken, where appropriate, to be or to include a reference to the purchaser;

(b) a legal proceeding that could have been instituted by or against TOTE Tasmania, or the TOTE subsidiary, immediately before the sale day and that relates to the transferring business may be instituted by or against the purchaser;

(c) a legal proceeding instituted by or against TOTE Tasmania, or the TOTE subsidiary, that relates to the transferring business and is pending immediately before the sale day may be continued by or against the purchaser;

(d) a document served on TOTE Tasmania, or the TOTE subsidiary, in respect of a legal proceeding referred to in paragraph (c) is taken to have been served on the purchaser;

(e) a judgment or order of a court obtained by or against TOTE Tasmania, or the TOTE subsidiary, in relation to the transferring business may be enforced by or against the purchaser but may not be enforced by or against TOTE Tasmania, or the TOTE subsidiary;

(f) a contract made by TOTE Tasmania, or the TOTE subsidiary, relating to the transferring business but not performed or discharged before the sale day is taken to have been made by the purchaser.

(3)  If the business of TOTE Tasmania or of a TOTE subsidiary is sold, the obligations of TOTE Tasmania or the TOTE subsidiary in relation to a liability that becomes the liability of the purchaser as part of that sale are discharged on the sale day.