I'm glad you are allowed to do that.
I'm at a computing department, so no T&M equipment, but sometimes they give away PCs or monitors under similar conditions. The trouble is that more often than not they don't bother with decomissioning (wiping hard drives, required by data protection law) so it is more convenient to throw it in the WEEE bin and let the contracted recycler handle this. These guys I suppose make serious money, I bet it ends up on ebay.
The laws favor them a lot. They promise to handle data protection issue I suppose. Also, often universities cannot sell decades old surplus equipment (let's say 20 MHz CROs, think Tek 2205), even for students, as this would fall under consumer protection/sale laws (warranty, returns etc).
Broken equipment is even worse, falling under Health & Safety, so often in the first place there is no certified technician to do a simple repair (even as simple as replacing a fuse) - therefore a decent piece of kit ends in the skip. Again, absolutely no legal way of selling broken equipment. Imagine the possible lawsuits.
This pisses me off immensely, because many decent things end up in the skip (ebay at best), instead being useful for hobbyist, students, hackerspaces etc.
For example, a month ago or so I scored from the WEEE dumpster 3 broken E3631A, one even Agilent branded. One had just dirty encoder (grease), second broken ADC resistors (30Kohm AFAIR) and the third needed more work, replaced the SRAM and CV/CC optocouplers. So after spending few evenings and 10 GBP in parts I now have 3 perfectly working awesomely accurate power supplies. Unfortunately, T&M stuff is quite rare there, mostly computers & parts.