Re latch-up:
Latch-up occurs in ICs when any pin goes negative with respect to the most-negative rail on the device, which is the substrate, by at least a P-N voltage drop. (Similarly for positive excess.) If there is a path between the negative supply (7912 output) and the 7812 output, and the negative power supply comes on before the positive supply, the 7812 output can go negative and cause the latch-up. Before the 7812 powers up, the output impedance is high, and it does not take much current to take the pin negative. The usual cure for this type of latch-up is to put a Schottky diode (with less voltage drop) across the relevant pins (reverse biased), to prevent the parasitic SCR from turning on. In this case, put the diode from the 7812 output to ground. Latch-up may destroy a device if the current supplying the input is sufficient to exceed its power rating, but if there be insufficient current available, the device may survive until the power is cycled.