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17.20

Where the Contractor has breached the Contract other than as specified in Clauses 17.8 to 17.15 and the breach is not capable of remedy, the PCT may serve notice on the Contractor requiring it not to repeat the breach (“breach notice”).

17.21

If, following a breach notice or a remedial notice, the Contractor:

17.21.1

repeats the breach that was the subject of the breach notice or the remedial notice; or

17.21.2

otherwise breaches the Contract resulting in either a remedial notice or a further breach notice,

the PCT may serve notice on the Contractor terminating the Contract with effect from such date as may be specified in that notice.

17.22

The PCT shall not exercise its right to terminate the Contract under Clause 17.21 unless it is satisfied that the cumulative effect of the breaches is such that it would be prejudicial to the efficiency of the Services to be provided under the Contract to allow the Contract to continue.

17.23

If the Contractor is in breach of any obligation and a breach notice or a remedial notice in respect of that default has been given to the Contractor, the PCT may withhold or deduct monies which would otherwise be payable under the Contract in respect of that obligation which is the subject of the default.

Contract Sanctions61

17.24

In Clauses 17.25 to 17.33 “contract sanction” means:

17.24.1

termination of specified reciprocal obligations under the Contract; and/or

17.24.2

suspension of specified reciprocal obligations under the Contract (including the temporary replacement of the Contractor with another service provider(s) of the PCT’s choosing or by the PCT’s  staff) for a period of up to six (6) months; and/or

17.24.3

withholding or deducting monies otherwise payable under the Contract.

17.25

Where the PCT is entitled to terminate the Contract pursuant to Clauses 17.8, 17.9, 17.14, 17.15, 17.19 and 17.21, it may instead impose any of the contract sanctions if the PCT is reasonably

61 See footnote to PART 17 generally.

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