Contracts involving discontinuance of textile undertaking to cease to have effect

Contracts involving discontinuance of textile undertaking to cease to have effect. —

1. (1) Any contract, whether express or implied, or other arrangement (not being a contract or arrangement for the supply of goods or services) entered into at any time before the appointed day, between the owner of a sick textile undertaking and any other person, in so far as such contract or arrangement provides for the discontinuance of the production of any article by the sick textile undertaking, shall cease to have effect or, if inconsistent with the provisions of this Act, shall be deemed to have been modified to the extent of such inconsistency.
2. (2) Any contract or arrangement entered into at any time before the appointed day, to the extent that it provides for the transfer of any assets of a sick textile undertaking to any person, shall be void and of no effect.