(1) Unless otherwise expressly provided by or under this Act, all contracts, agreements and other instruments of whatever nature subsisting or having effect immediately before the appointed day and to which the Improvement Trust is a party or which are in favour of the Improvement Trust shall be of as full force and effect against or in favour of the Board, as the case may be, and may be enforced or acted upon as fully and effectually as if instead of the Improvement Trust, the Board had been a party thereto or as if they had been entered into or issued in favour of the Board.
(2) If on the appointed day any suit, appeal or other legal proceedings of whatever nature by or against; the Improvement Trust is pending, then, it shall not abate or be discontinued or be in any way prejudicially affected by reason of the transfer to the Board of the assets and liabilities of the Improvement Trust or of any thing done under the Act, but the suit, appeal or other legal proceedings may be continued, prosecuted and enforced by or against the Board.
Explanation.- For the purposes of this sub-section legal proceedings include any proceedings under the Land Acquisition Act, 1894 (Central Act I of 1894).