7(1)This paragraph applies in connection with the dissolution of the governing body of a maintained school by virtue of paragraph 4 of Schedule 10.
(2)Where a governing body are so dissolved—
(a)all land or other property of the governing body which is used or held for the purposes of the school, and
(b)all rights and liabilities (including rights and liabilities in relation to staff) of the governing body subsisting immediately before the date of dissolution which were acquired or incurred for the purposes of the school,
shall on the date of dissolution be transferred to, and by virtue of this Act vest in—
(i)the local education authority, or
(ii)one or more of the following, namely the governing body of a maintained school and the temporary governing body of a new school, if the Secretary of State so directs before the date of dissolution.
(3)Sub-paragraph (2) does not apply to—
(a)any land or other property for which provision has been made for transfer or payment under paragraph 5(4) or 6(2),
(b)any property of whatever nature which is held by the governing body on trust for the purposes of the school, or
(c)unless the Secretary of State otherwise directs by order made before the date of dissolution, any liabilities of the governing body in respect of any loan made to the governing body.
(4)Subject to sub-paragraph (5), a governing body who are to be dissolved as mentioned in sub-paragraph (1) may transfer any land or other property which is held by them on trust for the purposes of the school to any person to hold such land or other property on trust for purposes connected with the provision of education in maintained schools.
(5)Sub-paragraph (4) does not apply to any land or other property so held by the governing body of a foundation, voluntary or foundation special school where any other persons also hold any property on trust for the purposes of the school; and any such land or other property shall on the date of dissolution be transferred to, and by virtue of this Act vest in, those persons.
(6)If any doubt or dispute arises as to the persons to whom any land or other property within sub-paragraph (5) falls to be transferred under that sub-paragraph, it shall be treated as falling to be so transferred to such persons as the Secretary of State thinks proper.