Common use of Competitive Terms Clause in Contracts

Competitive Terms. 24.4.1 If the Authority is able to obtain from any Sub-Contractor or any other third party more favourable commercial terms with respect to the supply of any materials, equipment, software, goods or services used by the Supplier or the Supplier Personnel in the supply of the Goods and/or Services, then the Authority may: (a) require the Supplier to replace its existing commercial terms with its Sub-Contractor with the more favourable commercial terms obtained by the Authority in respect of the relevant item; or (b) subject to Clause 24.3 (Termination of Sub-Contracts), enter into a direct agreement with that Sub-Contractor or third party in respect of the relevant item. 24.4.2 If the Authority exercises either option pursuant to Clause 24.4.1, then (a) the Framework Support Rates shall be increased; and (b) the Other Charges shall be decreased; by an amount that is agreed in accordance with Clause 18.1 (Variation Procedure). 24.4.3 The Authority's right to enter into a direct agreement for the supply of the relevant items is subject to: (a) the Authority shall make the relevant item available to the Supplier where this is necessary for the Supplier to provide the Goods and/or Services; and (b) any increase in the Framework Support Rates or decrease in Other Charges taking into account any unavoidable costs payable by the Supplier in respect of the substituted item, including in respect of any licence fees or early termination charges.

Appears in 4 contracts

Samples: Vehicle Purchase Framework Agreement, Vehicle Purchase Framework Agreement, Vehicle Purchase Framework Agreement

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