Commentary on Sections Part 3 of Schedule 11: Transition committees of merging councils and restructuring councils Paragraph 5 - Directions: enforcement and consequences of contravention
625.The consequences of failing to comply with a direction issued under paragraph 1 are set out in paragraph 5:
	a contract, including an employment contract, or agreement entered into in breach of a direction will be unenforceable;
	a land transaction or capital acquisition made in breach of a direction will be void;
	any grant, or provision of other financial assistance or a loan, in breach of a direction will be repayable; and
	the use of reserves in breach of a direction when making the mandatory calculation of the council’s budget requirement means that the calculation will be treated as though it had not been made.