Common use of Causes of Termination Clause in Contracts

Causes of Termination. Any of the following events shall constitute an event of default by the Private Service Provider entitling DoHFW to terminate this agreement and subsequent forfeiture of Security deposit/performance guarantee by the hospital authority a. Failure to commence services in the Hospital within three months of signing the agreement b. Failure to comply with the statutory requirements, Clinical Establishment Acts, Rules and other applicable norms and any of the terms of this agreement. c. Failure to comply with the requirement of the duration of services as per provision of this agreement d. Failure to comply with SOPs for operation and management of the services e. Collecting charges from the patients in violation of the Policy on User Charges f. Failure by the Concessionaire to deliver timely reports on more than five occasions in a month in case of 16 Slice CT Scan services g. Inaccuracy detected in at least three occasions in a period of three months in the reports generated in the Centre for 16 Slice CT Scan services h. Error detected in more than two occasions in three months in recording the correct entry of the number of patients referred from the concerned hospital as well as by the private practitioners/private hospitals in each month. i. Criminal indictment of the promoters, member/s of the Board of Directors, chief functionaries, key personnel engaged by the Concessionaire for operation and management of the services. j. Engagement of unqualified persons for running of the Services k. Use of the allocated space by the Concessionaire for any other purpose other than the approved scheme. l. If the private partner fails to provide service as per the norms of the agreement or discontinues service due to any reason what so ever including personal grounds before the contract periods end. m. In case the private partner fails to pay the concession fees /20% of the gross revenue generated in the quarter whichever is higher within 10th of the first month of the subsequent quarter, interest @ 1%per month on the due concession fees will be imposed for each 15 days delay thereof subjected to a maximum allowable extension period of 3 months from last due date of payment of concession. All dues along with applicable interest have to be cleared within the allowable limit of 3 months beyond which relevant procedure for termination of contract and floating of e-tender for selection of new private partners will be initiated by the Hospital Authority/Department of Health & Family welfare. However penalty clause will be applicable till the date of decommissioning of the unit and handover of site under possession of the private partner to the hospital authority in interest of public service. In case there is any deviation in service the hospital authority may initiate appropriate action in form of FIR and other relevant measures under rule of law including black listing of the private partner. n. Failure to execute CMC of the equipments and accessories in accordance with the terms of this agreement o. If the private partner fails to setup the designated units including starting of patient services in case of EOM type of centres where CAPEX for equipments and installation has to be borne by them within 3 months of hand over of possession of the site with required power as mentioned in the tender document. p. Failure to undertake proper maintenance and upkeep of the equipments and accessories in accordance with the provision of the agreement