Section 34 of The General Insurance Business (Nationalisation) Act, 1972
Any reference to an existing insurer in any law other than this Act or any contract or other instrument shall, in so far as it relates to an acquiring company, be construed as a reference to that company.
Summary
- If another law or contract mentions an existing insurer, that reference is now automatically treated as referring to the acquiring company.
- This rule applies to any law other than this specific Nationalisation Act.
- It also applies to any contract or other legal instrument.
- This ensures a smooth legal transition without needing to rewrite old documents.
Practical examples
FAQ
1. What happens to a contract that names a pre-nationalisation insurer?
The contract is automatically construed to refer to the new acquiring company.
2. Does this rule apply to the Nationalisation Act itself?
No, it specifically applies to any law other than this Act.
3. Do we need to sign new contracts just to change the company name?
No, the law automatically updates the legal reference.
Test yourself
Q1.Under Section 34 of The General Insurance Business (Nationalisation) Act, 1972, how should a reference to an existing insurer in a commercial contract be interpreted?
Q2.Under Section 34 of The General Insurance Business (Nationalisation) Act, 1972, does this substitution of names apply to provisions written inside the Nationalisation Act itself?
Q3.Under Section 34 of The General Insurance Business (Nationalisation) Act, 1972, what types of legal documents are covered by this rule besides other laws?
Q4.Under Section 34 of The General Insurance Business (Nationalisation) Act, 1972, what is the practical outcome when an existing insurer is mentioned in a 1970 contract?