42. (1) A claim in respect of any loss or injury alleged to have been suffered by any person arising out of the performance, before the dissolution day, of a function of the dissolved body transferred by this Act shall, on and after that day, lie against the Agency and not against the dissolved body.

(2) Any legal proceedings pending immediately before the dissolution day, to which the dissolved body is a party, shall be continued on and after that day, with the substitution in the proceedings of the Agency, in so far as they so relate, for the dissolved body.

(3) Where, before the dissolution day, agreement has been reached between the parties concerned in settlement of a claim to which subsection (1) relates, the terms of which have not been implemented, or judgment in such a claim has been given in favour of a person but has not been enforced, the terms of the agreement or judgment, as the case may be, shall, on and after the dissolution day, in so far as they are enforceable against the dissolved body, be enforceable against the Agency and not the dissolved body.

(4) Any claim made or proper to be made by the dissolved body in respect of any loss or injury arising from the act or default of any person before the dissolution day shall, on and after that day, be regarded as having been made by or proper to be made by the Agency and may be pursued and sued for by the Agency as if the loss or injury had been suffered by the Agency.