5   Direction to transfer business undertaking

(1)  The Minister may, by order in writing, direct that the business undertaking of Hunter Water Corporation Limited be transferred to the Corporation, in exchange for the issue of shares or on any other basis.

(2)  The transfer of assets, rights and liabilities under this section is to take place at a value or values specified in the order.

(3)  On the commencement of the order, the following provisions have effect (subject to the order):

(a)  the assets of Hunter Water Corporation Limited comprised in its business undertaking vest in the Corporation by virtue of this section and without the need for any conveyance, transfer, assignment or assurance,

(b)  the rights and liabilities of Hunter Water Corporation Limited comprised in its business undertaking become by virtue of this section the rights and liabilities of the Corporation,

(c)  all proceedings relating to the business undertaking commenced before the transfer by or against Hunter Water Corporation Limited or a predecessor of Hunter Water Corporation Limited and pending immediately before the transfer are taken to be proceedings pending by or against the Corporation,

(d)  any act, matter or thing done or omitted to be done in relation to the business undertaking before the transfer by, to or in respect of Hunter Water Corporation Limited is (to the extent that that act, matter or thing has any force or effect) taken to have been done or omitted by, to or in respect of the Corporation,

(e)  a reference in any Act, in any instrument made under any Act or in any document of any kind to Hunter Water Corporation Limited or a predecessor of Hunter Water Corporation Limited is, subject to regulations under section 70 (2), to be read as, or as including, a reference to the Corporation.

(4)  The operation of this section is not to be regarded:

(a)  as a breach of contract or confidence or otherwise as a civil wrong, or

(b)  as a breach of any contractual provision prohibiting, restricting or regulating the assignment or transfer of assets, rights or liabilities, or

(c)  as giving rise to any remedy by a party to an instrument, or as causing or permitting the termination of any instrument, because of a change in the beneficial or legal ownership of any asset, right or liability.

(5)  The operation of this section is not to be regarded as an event of default under any contract or other instrument.

(6)  No attornment to the Corporation by a lessee from Hunter Water Corporation Limited is required.

(7)  Assets, rights or liabilities may not be transferred under this section to the Corporation unless the Corporation is a State owned corporation.