Vesting of undertaking: assets and liabilities transfer to Producer Company on transformation, preserving legal proceedings and continuity of obligations ensured. All properties, assets and capital of the inter State co operative society vest in the Producer Company and its capital includes the society's capital; the Producer Company succeeds to all rights, debts, liabilities, interests, privileges and obligations, and sums due to the society are deemed due to the Producer Company. Contracts, obligations and matters engaged in by or for the society immediately before transformation are treated as incurred by the Producer Company.