Common use of Potential Default Clause in Contracts

Potential Default. (a) For the purposes of this clause Potential Default means any event, thing or cir- cumstance which does not fall within the scope of clause 20 and which likely would: (i) result in delay in meeting any requirement of the performance of the Ser- vices; (ii) result in the Supplier not being able to achieve a Milestone; or (iii) give rise to a right of termination pursuant to clause 23.2 with the giving of notice or the passage of time. (b) The Supplier must notify SPREP immediately upon becoming aware of a Poten- tial Default and must include the following information, substantially in the form of the template provided by SPREP (if any), in its notice: (i) the nature of and reason for the Potential Default; (ii) how the Supplier proposes to rectify the Potential Default; (iii) the date on which the Supplier proposes that the Potential Default will be rectified; and (iv) any expected impact that the Potential Default may have on the delivery of the Services. (c) If SPREP is not satisfied with the Supplier’s proposed actions to rectify the Poten- tial Default, SPREP acting reasonably, may by written notice to the Supplier, re- quire the Supplier to immediately suspend the Services (in whole or in part) and / or terminate this Agreement in its entirety (d) No action taken by SPREP pursuant to this clause 23.3 will: (i) relieve the Supplier from, or alter or affect, the Supplier's liabilities or re- sponsibilities whether under this Agreement or otherwise according to Law; or (ii) prejudice SPREP’s rights against the Supplier whether under this Agree- ment or otherwise according to Law.

Potential Default. (a) For the purposes of this clause Potential Default means any event, thing or cir- cumstance circumstance which does not fall within the scope of clause 20 and which likely would: (i) result in delay in meeting any requirement of the performance of the Ser- vicesServices; (ii) result in the Supplier not being able to achieve a Milestone; or (iii) give rise to a right of termination pursuant to clause 23.2 with the giving of notice or the passage of time. (b) The Supplier must notify SPREP immediately upon becoming aware of a Poten- tial Potential Default and must include the following information, substantially in the form of the template provided by SPREP (if any), in its notice: (i) the nature of and reason for the Potential Default; (ii) how the Supplier proposes to rectify the Potential Default; (iii) the date on which the Supplier proposes that the Potential Default will be rectified; and (iv) any expected impact that the Potential Default may have on the delivery of the Services. (c) If SPREP is not satisfied with the Supplier’s proposed actions to rectify the Poten- tial Potential Default, SPREP acting reasonably, may by written notice to the Supplier, re- quire require the Supplier to immediately suspend the Services (in whole or in part) and / or terminate this Agreement in its entirety (d) No action taken by SPREP pursuant to this clause 23.3 will: (i) relieve the Supplier from, or alter or affect, the Supplier's liabilities or re- sponsibilities responsibilities whether under this Agreement or otherwise according to Law; or (ii) prejudice SPREP’s rights against the Supplier whether under this Agree- ment Agreement or otherwise according to Law.

Potential Default. (a) For the purposes of this clause Potential Default means any event, thing or cir- cumstance circumstance which does not fall within the scope of clause 20 17 and which likely would: (i) result in delay in meeting any requirement of the performance of the Ser- vicesProject; (ii) result in the Supplier Recipient not being able to achieve a MilestoneMilestone within the timeframe specified in the Milestone Schedule; or (iii) give rise to a right of termination pursuant to clause 23.2 19.1 with the giving of notice or the passage of time. (b) The Supplier Recipient must notify SPREP the Department immediately upon becoming aware of a Poten- tial Potential Default and must include the following information, substantially in the form of the template provided by SPREP the Department (if any), in its notice: (i) the nature of and reason for the Potential Default; (ii) how the Supplier Recipient proposes to rectify the Potential Default; (iii) the date on which the Supplier Recipient proposes that the Potential Default will be rectified; and (iv) any expected impact that the Potential Default may have on the delivery of Project Budget or on the Servicesability to comply with timeframes in the Milestone Schedule. (c) If SPREP the Department becomes aware of a Potential Default either through the receipt of notice from the Recipient under clause 19.2(b) or by any other means, the Department may provide the Recipient with a written notice setting out the nature of the Potential Default (Notice of Potential Default) any extension of time permitted and any requirements the Department has in relation to the rectification of the Potential Default or reduction in scope of the Project. (d) On receipt of a Notice of Potential Default the Recipient must remedy the Potential Default or, where the Potential Default is not capable of being remedied, prepare a plan for the Department's approval of the actions that the Recipient proposes to take to deal with the impact of the Potential Default (Potential Default Plan). (e) If: (i) the Recipient does nothing in response to the Notice of Potential Default; (ii) the Department is not satisfied with the Supplier’s proposed actions Potential Default Plan; or (iii) the Recipient subsequently fails to rectify comply with the Poten- tial DefaultPotential Default Plan, SPREP acting reasonably, the Department may by written notice to the SupplierRecipient, re- quire require the Supplier Recipient to immediately suspend dealings with the Services Funds (in whole or in part) and / or and/or terminate this Agreement in its entirety. (df) No action taken by SPREP the Department pursuant to this clause 23.3 19.2 will: (i) relieve the Supplier Recipient from, or alter or affect, the SupplierRecipient's liabilities or re- sponsibilities responsibilities whether under this Agreement or otherwise according to Law; or (ii) prejudice SPREP’s the Department's rights against the Supplier Recipient whether under this Agree- ment Agreement or otherwise according to LawXxx.

Potential Default. ‌ (a) For the purposes of this clause 'Potential Default Default' means any event, thing or cir- cumstance which does not fall within the scope of clause 20 and circumstance which likely would: (i) result in delay in meeting any requirement of the performance of the Ser- vices; (ii) result in the Supplier not being able to achieve a Milestone; or (iii) give rise to a right of termination pursuant to clause 23.2 17.1 (other than pursuant to clause 17.1(i)) with the giving of notice or the passage of time; or (ii) result in the Organisation not being able to achieve a Milestone within the timeframe specified in accordance with the Milestone Schedule. (b) The Supplier Organisation must notify SPREP the Commonwealth immediately upon becoming aware of a Poten- tial Potential Default and must include the following information, substantially in the form of the template provided by SPREP (if any), information in its notice:notice to the Commonwealth:‌ (i) the nature of and reason for the Potential Default; (ii) how the Supplier Organisation proposes to rectify the Potential Default; (iii) the date on which the Supplier Organisation proposes that the Potential Default will be rectified; and (iv) any expected impact that the Potential Default may have on the delivery of the ServicesProject Budget. (c) If SPREP the Commonwealth becomes aware of a Potential Default either through the receipt of notice from the Organisation under clause 17.2(b) or by any other means, the Commonwealth may provide the Organisation with a written notice setting out the nature of the Potential Default (Notice of Potential Default) and any requirements the Commonwealth has in relation to the rectification of the Potential Default. (d) On receipt of a Notice of Potential Default the Organisation must remedy the Potential Default or, where the Potential Default is not capable of being remedied, prepare a plan for the Commonwealth's approval of the actions that the Organisation proposes to take to deal with the Potential Default (Potential Default Plan). (e) If the Commonwealth is not satisfied with the Supplier’s proposed actions Potential Default Plan or the Organisation subsequently fails to rectify comply with the Poten- tial Default, SPREP acting reasonably, Potential Default Plan the Commonwealth may by written notice to the SupplierOrganisation, re- quire require the Supplier Organisation to immediately suspend dealings with the Services Funds (in whole or in part) and / ), or terminate this Agreement in its entiretyentirety (or both as the case may be). (df) At any time while a Potential Default subsists, the Commonwealth may appoint insolvency practitioners or other experts (Investigating Experts), to investigate and report on the affairs and financial position of the Organisation and the Organisation: (i) authorises, and agrees to give all reasonable assistance to, the Investigating Experts to undertake the investigation, and must pay the Investigating Experts' costs on demand by the Commonwealth; and (ii) authorises the disclosure to the Commonwealth and its advisers of all information and documentation in connection with the investigation by the Investigating Experts. (g) No action taken by SPREP the Commonwealth pursuant to this clause 23.3 17.2 will: (i) relieve the Supplier Organisation from, or alter or affect, the SupplierOrganisation's liabilities or re- sponsibilities responsibilities whether under the Agreement or otherwise according to law; or (ii) prejudice the Commonwealth's rights against the Organisation whether under this Agreement or otherwise according to Law; or (ii) prejudice SPREP’s rights against the Supplier whether under this Agree- ment or otherwise according to Lawlaw.