Common use of Optional Development Clause in Contracts

Optional Development. 12.4.1 The Concessionaire shall, subject to provisions of this Agreement including Clause 2.1(e) hereof have the right to exercise an option of undertaking construction of Medical College anytime during the Concession Period subject to fulfilment of Medical Council of India/competent authority’s requirement in respect of development of Medical College. The Concessionaire shall, subject to aforesaid provision, only commence the construction for Optional Development post receiving written approval from the Authority. Provided, however, such approval from Authority, if granted shall be without prejudice to Concessionaire’s obligation towards inter alia operation and maintenance of Mandatory Phases of the Project in accordance with provisions of this Agreement. 12.4.2 At any time during the Concession Period, the Concessionaire has, subject to and in accordance with terms hereof, an option to undertake the Optional Development. All the terms, conditions, rights and obligations of the Concessionaire in relation to construction and operation of the Project shall apply mutatis mutandis for the development and operation of the Optional Development, including, submission of periodic reports and other relevant documents to the Independent Engineer under Articles 13 and 14; provided that the construction of Optional Development is carried out in such manner that it does not prejudice the Master Plan and the Drawings. For avoidance of doubt, it is clarified that in relation to the development and construction of Optional Development the Concessionaire shall, except as otherwise stipulated elsewhere in this Agreement, not be required to re-submit the Master Plan and the Drawings unless the Concessionaire has or intends to modify, alter or make any changes to the Master Plan and/or the Drawings.