In a judgment delivered on the 5th of October 2018, in the names of Antoinette Farrugia vs Optical (CCSG) Company Limited and Classic Group (Appeal nr. 16/2018) the Court of Appeal (Inferior) considered that the decisive criterion for establishing whether a transfer of business had taken place was whether the business in question had retained its identity and thereby whether the business had actually continued or resumed the same or similar activities.

Moreover, the Court stated that a transfer of business may also be effected in two stages, the first stage being the transfer of the undertaking from the original lessee to the owner and the second being the transfer from the owner to the new lessee.

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