No. 8/1966:

NATIONAL BANK TRANSFER ACT, 1966

ARRANGEMENT OF SECTIONS

1 Interpretation.

2 Transfer of Accounts.

3 Transfer of securities.

4 Rights and obligations in relation to transferred securities.

5 Transfer in the case of property held on bailment.

6 Transfer of officers, clerks and servants.

7 Exemptions from stamp duty.

8 Adaptation of certain statutory provisions.

9 Short title and commencement.

AN ACT TO FACILITATE THE PURCHASE BY THE NATIONAL BANK OF IRELAND LIMITED OF PART OF THE UNDERTAKING OF THE NATIONAL BANK LIMITED.

[9th March, 1966]

BE IT ENACTED BY THE OIREACHTAS AS FOLLOWS:—

1.—In this Act—

"the transferor" means The National Bank Limited, a company incorporated in England and having its registered office at 13-17 Old Broad Street in the city of London;

"the transferee" means The National Bank of Ireland Limited, a company incorporated in the State and having its registered office at 34, College Green in the city of Dublin;

"the Transfer Agreement" means the Agreement dated the 20th January, 1966, and made between the transferor and the transferee for the sale by the transferor to the transferee of the business of the transferor carried on in the State and in Northern Ireland;

"the transfer date" means the date specified in the Transfer Agreement as the date for the completion of the said sale;

"customer" includes any person having a banking account or other dealing, transaction or arrangement with the transferor or the transferee (as the case may be) in the course of its banking business;

"security" includes a mortgage (whether legal or equitable), charge, debenture, bill of exchange, promissory note, guarantee, lien, pledge or other means of securing the payment of a debt whether present or future, or the discharge of an obligation or liability whether actual or contingent.

2.—Any account between the transferor and a customer at any office or branch of the transferor in the State shall be transferred or deemed to be transferred to the transferee on the transfer date and become as and from that date an account between the transferee and such customer with the same rights and subject to the same obligations and incidents (including rights of set-off) as would have been applicable thereto if such account between the transferor and the customer had continued and so that any instruction, direction, mandate or authority given by such customer in relation to such account or any obligation entered into by the transferor in relation to a customer and subsisting at that date shall continue to apply and have effect in relation to such account after its transfer to the transferee as aforesaid, and any moneys owing on such account by the customer to the transferor at that date shall become due and payable by the customer to the transferee instead of to the transferor, and any moneys owing on such account by the transferor to the customer at that date shall become due and payable by the transferee to the customer instead of by the transferor.

3.—Any security held by the transferor as security for the payment of the debts or liabilities (whether present or future, actual or contingent) of a customer at any office or branch of the transferor in the State shall be transferred or deemed to be transferred on the transfer date and be held by and be available to the transferee as security for the payment of such debts and liabilities to the transferee; and where the moneys secured by such a security include future advances to or liabilities of a customer, the said security shall as from that date be held by and be available to the transferee as security for future advances to the said customer by and future liabilities of the said customer to the transferee to the same extent to which future advances by or liabilities to the transferor were secured thereby immediately before that date.

4.—The transferee shall, in relation to any security transferred or deemed to have been transferred to it in accordance with or by virtue of the provisions of section 3 of this Act and the moneys thereby secured in accordance with those provisions, be entitled to the same rights and priorities and subject to the same obligations and incidents as the transferor would have been entitled and subject to if the same had continued to be held by the transferor and so that in relation thereto, the following provisions shall have effect—

( a ) the transfer of any such security effected or deemed to be effected by section 3 of this Act shall not require registration under or in pursuance of the Registration of Deeds Act, 1707, the pre-Union Irish statute 33 Geo. 2, c. 14 (Ir.), the Registration of Title Acts, 1891 and 1942, or section 99 of the Companies Act, 1963 , but shall operate for the purposes of those Acts as if it were made by deed duly registered on the transfer date under or in pursuance of whichever of those Acts may be applicable thereto;

( b ) where section 3 of this Act effects an extension of or in relation to any such security so as to include future advances by or future liabilities to the transferee, such extension shall not require registration under or in pursuance of the Registration of Deeds Act, 1707, the Bills of Sale (Ireland) Acts, 1879 and 1883, the Registration of Title Acts, 1891 and 1942, or section 99 of the Companies Act, 1963 , but shall operate for the purposes of those Acts as if it were made by deed duly registered on the transfer date under or in pursuance of whichever of those Acts may be applicable thereto.

5.—The custody of any document, goods or other property held by the transferor as bailee for any other person at any office or branch of the transferor in the State shall be transferred or deemed to be transferred to the transferee on the transfer date and the rights and obligations of the transferor under any contract of bailment relating to such document, goods or property shall be transferred or deemed to be transferred on that date to the transferee

6.—Any officer (other than a director or auditor), clerk or servant in the service or employment of the transferor in the State shall on the transfer date be transferred from the service or employment of the transferor to and become an officer, clerk or servant (as the case may be) of the transferee with the same rights and subject to the same obligations and incidents in respect of such service or employment as he would have had or been subject to as an officer, clerk or servant of the transferor, and every such officer, clerk or servant as aforesaid who is a member of the Men's or Women's Pensions Funds of the transferor and every officer, clerk or servant formerly employed by the transferor in the State who is a member of either of such Pensions Funds shall on the transfer date become a member of The National Bank of Ireland Men's Pensions Fund or The National Bank of Ireland Women's Pensions Fund:

Provided that for the purpose of ascertaining and calculating the right to pension or superannuation benefits, service or employment with the transferor shall be taken into account if it were service or employment with the transferee but the transfer of service or employment from the transferor to the transferee shall not, of itself, give rise to any claim to pension or superannuation benefits.

7.—(1) Section 12 of the Finance Act, 1895, shall not apply to the vesting in the transferee of any property of the transferor by virtue of this Act.

(2) Stamp duty shall not be charged and shall be deemed never to have been chargeable on the Transfer Agreement.

(3) Stamp duty shall not be charged on any instrument executed in order to supplement the transfers effected or deemed to be effected by sections 2 and 3 of this Act.

8.—(1) In the several statutory provisions to which this section applies and with effect as and from the transfer date, references to The National Bank Limited shall be deleted and references to The National Bank of Ireland Limited substituted therefor.

(2) This section applies to—

( a ) section 9 (1) (a) of the Bankers' Books Evidence Act, 1879, as amended by section 2 of the Bankers' Books Evidence (Amendment) Act, 1959 ;

( b ) section 1 (j) (v) of the Trustee Act, 1893, as amended by section 1 of the Trustee (Authorised Investments) Act, 1958 ;

( c ) the second column of the Third Schedule to the Central Bank Act, 1942 ;

( d ) the First and Second Schedules to the Exchange Control Act, 1954 ;

( e ) section 3 (4) of the Finance Act, 1956 ;

( f ) section 5 (2) of the Trustee Savings Banks Act, 1965 .

9.—(1) This Act may be cited as the National Bank Transfer Act, 1966 .

(2) This Act shall come into operation on such day as the Minister for Finance shall by order appoint.