S.L. 386.27 Art. 25Legal consequences of cross-border conversion.

(1) A cross-border conversion shall, from the date a referred to in regulation 23(1) have the following consequences:

(a) all the assets and liabilities of the company, including all contracts, credits, rights and obligations, shall be those of the converted company;

(b) the members of the company shall continue to be members of the converted company, unless they have disposed of their shares in terms of regulation 13;

(c) the rights and obligations of the company arising from contracts of employment or from employment relationships and existing at the date on which the cross-border conversion takes effect shall be those of the converted company.

(2) For the avoidance of doubt, a cross-border conversion shall not:

(a) render defective any legal or other proceedings instituted or to be instituted, by or against the company; or

(b) release or impair any conviction, judgement, ruling, order, debt, liability or obligation due or to become due or any cause existing against the company or against any member, director, officer or persons vested with the administration or the representation of the company.