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Part IVIndustrial Relations

Chapter ICollective bargaining

Enforceability of collective agreements

179Whether agreement intended to be a legally enforceable contract

(1)A collective agreement shall be conclusively presumed not to have been intended by the parties to be a legally enforceable contract unless the agreement—

(a)is in writing, and

(b)contains a provision which (however expressed) states that the parties intend that the agreement shall be a legally enforceable contract.

(2)A collective agreement which does satisfy those conditions shall be conclusively presumed to have been intended by the parties to be a legally enforceable contract.

(3)If a collective agreement is in writing and contains a provision which (however expressed) states that the parties intend that one or more parts of the agreement specified in that provision, but not the whole of the agreement, shall be a legally enforceable contract, then—

(a)the specified part or parts shall be conclusively presumed to have been intended by the parties to be a legally enforceable contract, and

(b)the remainder of the agreement shall be conclusively presumed not to have been intended by the parties to be such a contract.

(4)A part of a collective agreement which by virtue of subsection (3)(b) is not a legally enforceable contract may be referred to for the purpose of interpreting a part of the agreement which is such a contract.