Defence Reform Bill (HC Bill 84)

(b) the information is used by that person otherwise than in accordance
with paragraph 2(3) (“the unauthorised use”).

(2) The person making the unauthorised use is to be treated for all purposes as
if that person were subject to the obligation which restricted the use of the
5information by the Secretary of State.

(3) But where the person making the unauthorised use is an employee, the
information is to be treated as if it had been used by the person’s employer.

Interpretation: general

6 In this Schedule—

• 10“ancillary services” means services certified by the Secretary of State to
  be services appearing to the Secretary of State to be calculated to
  facilitate, or to be conducive or incidental to, arrangements
  mentioned in section 1;

• “authorised officer”, in relation to the Secretary of State, means an
  15officer of the Secretary of State who is authorised by the Secretary of
  State to disclose or (as the case may be) obtain the information in
  question;

• “former contractor” means a company which has been a contractor;

• “relevant information” has the meaning given by paragraph 1(2);

• 20“service provider”, in relation to a contractor or former contractor,
  means—

  (a)

  a person who performs ancillary services for that contractor,
  and

  (b)

  an employee of such a person.

Section 10

25SCHEDULE 3 Transfer schemes under section 10

Transfer of property, rights and liabilities

1 (1) On the transfer date, the designated property, rights and liabilities that are
to be transferred from the transferor to the transferee are transferred and
30vest in accordance with the transfer scheme.

(2) The rights and liabilities that may be transferred by a transfer scheme
include those arising under or in connection with a contract of employment.

(3) A certificate by the Secretary of State that anything specified in the certificate
has vested in a person by virtue of a transfer scheme is conclusive evidence
35of that fact for all purposes.

Provision that may be made by a transfer scheme

2 (1) A transfer scheme may make provision—

(a) for anything done by or in relation to the transferor in connection
with any property, rights or liabilities transferred by the scheme to
40be treated as done, or to be continued, by or in relation to the
transferee;

(b) for references to the transferor in any agreement (whether written or
not), instrument or other document relating to any property, rights
or liabilities transferred by the scheme to be treated as references to
the transferee;

(c) 5about the continuation of legal proceedings;

(d) for transferring property, rights or liabilities which could not
otherwise be transferred or assigned;

(e) for transferring property, rights and liabilities irrespective of any
requirement for consent which would otherwise apply;

(f) 10for preventing a right of pre-emption, right of reverter, right of
forfeiture, right to compensation or other similar right from arising
or becoming exercisable as a result of the transfer of property, rights
or liabilities;

(g) for dispensing with any formality in relation to the transfer of
15property, rights or liabilities by the scheme;

(h) for transferring property acquired, or rights or liabilities arising,
after the scheme is made but before it takes effect;

(i) for apportioning property, rights or liabilities;

(j) for creating rights, or imposing liabilities, in connection with
20property, rights or liabilities transferred by the scheme;

(k) for requiring the transferee to enter into any agreement of any kind,
or for a purpose, specified in or determined in accordance with the
scheme;

(l) which is the same as or similar to that made by the TUPE regulations,
25in a case where those regulations do not apply in relation to the
transfer.

(2) Sub-paragraph (1)(b) does not apply to references in primary legislation or
subordinate legislation.

Compensation

3 30A transfer scheme may contain provision for the payment of compensation by the
Secretary of State to any person whose interests are adversely affected by it.

Foreign property

4 (1) Where a transfer scheme transfers foreign property or a foreign right or
liability, the transferor and the transferee must take all necessary steps to
35ensure that the vesting of the foreign property, right or liability in the
transferee by this Schedule is effective under the applicable foreign law.

(2) Until the vesting of the foreign property, right or liability is effective under
the applicable foreign law, the transferor must—

(a) hold the property or right for the benefit of the transferee, or

(b) 40discharge the liability on behalf of the transferee.

(3) Nothing in sub-paragraph (1) or (2) prejudices the effect under the law of a
part of the United Kingdom of the vesting of any foreign property, right or
liability in the transferee in accordance with a transfer scheme.

(4) Where—

(a) 45any foreign property, right or liability is acquired or incurred by the
transferor in respect of any other property, right or liability, and

(b) by virtue of this paragraph, the transferor holds the other property
or right for the benefit of another person or is required to discharge
the liability on behalf of another person,

the property, right or liability acquired or incurred immediately becomes the
5property, right or liability of that other person.

(5) Sub-paragraphs (1) to (4) have effect in relation to foreign property, rights or
liabilities transferred to a person under sub-paragraph (4) as they have effect
in relation to property, rights or liabilities transferred in accordance with a
transfer scheme.

(6) 10References in this paragraph to foreign property, or to a foreign right or
liability, are references to any property, right or liability as respects which an
issue arising in any proceedings would be determined (in accordance with
the rules of private international law) by reference to the law of a country or
territory outside the United Kingdom.

(7) 15Expenses incurred by a transferor under this paragraph must be met by the
transferee.

(8) An obligation imposed under this paragraph in relation to property, rights
or liabilities is enforceable as if contained in a contract between the
transferor and the transferee.

20Incidental etc provision

5 A transfer scheme may—

(a) include incidental, supplementary and consequential provision;

(b) make transitory or transitional provision or savings;

(c) make different provision for different purposes;

(d) 25make provision subject to exceptions.

Modification of transfer schemes

6 (1) The Secretary of State may modify a transfer scheme.

(2) But if a transfer under the scheme has taken effect, any modification that
relates to the transfer may be made only with the agreement of the person
30affected by the modification.

(3) A modification takes effect from a date specified by the Secretary of State
(which may be the date the original scheme came into effect).

Interpretation etc

7 In this Schedule—

• 35“designated”, in relation to a transfer scheme, means specified in or
  determined in accordance with the scheme;

• “primary legislation” means—

  (a)

  an Act of Parliament,

  (b)

  an Act of the Scottish Parliament,

  (c)

  40an Act or Measure of the National Assembly for Wales, or

  (d)

  Northern Ireland legislation;

• “subordinate legislation” means—

  Defence Reform BillPage 39

  (a)

  subordinate legislation within the meaning of the
  Interpretation Act 1978 (see section 21(1) of that Act), or

  (b)

  an instrument made under primary legislation of the kind
  mentioned in paragraph (b), (c) or (d) of the definition of
  5primary legislation above;

• “the transfer date” means a date specified by a transfer scheme as the
  date on which the scheme is to have effect;

• “transferee”, in relation to a transfer scheme, means a person who is a
  transferee in respect of property, rights or liabilities for whose
  10transfer the scheme provides;

• “transferor”, in relation to a transfer scheme, means the person for the
  transfer of whose property, rights or liabilities the scheme provides.

Section 13

SCHEDULE 4 Single Source Regulations Office

15Membership

1 (1) The SSRO is to consist of the following members—

(a) a chair appointed by the Secretary of State,

(b) at least two other members so appointed, and

(c) a chief executive, a chief operating officer and other members
20appointed in accordance with paragraph 2.

(2) The number of executive members must be less than the number of non-
executive members.

(3) In this Schedule—

(a) references to “non-executive members” of the SSRO are to the
25members mentioned in sub-paragraph (1)(a) and (b), and

(b) references to “executive members” of the SSRO are to the chief
executive, the chief operating officer and the other members
mentioned in sub-paragraph (1)(c).

Executive members: appointment and status

2 (1) 30The executive members of the SSRO are to be appointed by the non-
executive members.

(2) A person may not be appointed as an executive member without the consent
of the Secretary of State.

(3) The executive members are to be employees of the SSRO.

35Non-executive members: tenure

3 (1) A person holds and vacates office as a non-executive member of the SSRO in
accordance with the terms and conditions of his or her appointment.

(2) Appointment as a member of the SSRO is for a term of—

(a) not less than three years, and

(b) 40not more than six years.