Outline Construction Contractor Direct Agreement Page 8
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202.3
Notice that termination of the Principal Contract becomes effective
The Lead Authority shall, as soon as possible after the termination of the Principal
Contract becomes effective as a result of the circumstances referred to in Clause 2.1,
notify the Construction Contractor [and the Guarantor] of such occurrence. The
Construction Contractor shall be entitled to treat and rely upon such notice as
conclusive evidence for the purposes of this Agreement that the Principal Contract has
been terminated in such circumstances.
2.4
Financier’s Direct Agreement
The Lead Authority acknowledges that the rights under Clauses 3 and 4 shall not be
exercised until the Lead Authority is permitted so to do by the terms of the
Financier’s Direct Agreement (where relevant).
2.5
Information to be provided by the Construction Contractor
Within [20] Working Days of receipt of a notice provided pursuant to Clause 2.1, the
Construction Contractor shall promptly provide the Lead Authority with written
notice of:
2.5.1 any sums which are due and payable by the Contractor to the Construction
Contractor as at the date of the notice provided pursuant to Clause 2.1 and any
amounts which will become due and payable by the Contractor to the
Construction Contractor as at that date;
2.5.2 any unperformed obligations and outstanding liabilities of the Contractor as at
the date of the notice provided pursuant to Clause 2.1 and any obligations to
be performed by the Contractor by that date; and
2.5.3 supporting information and materials illustrating in reasonable detail the
matters specified in the notice given pursuant to this Clause 2.5.
The Construction Contractor shall inform the Lead Authority in writing as soon as
reasonably practicable of any change in such sums, amounts, obligations or liabilities
referred to in this clause, including any further sums, amounts or obligations
thereafter falling due and payable but unpaid or falling due for performance or
discharge and unperformed or discharged (as the case may be).
3.
STEP-IN AND STEP-OUT
3.1
Step-In Notice
If termination of the Principal Contract becomes effective under Clause 2.3, the Lead
Authority may give written notice to the Construction Contractor (a “Step-In
Notice”) of its intention to issue a Step-In Undertaking on a date specified in the Step-
In Notice (the “Step-In Date”) which shall be no later than [20] Working Days after
the date on which the termination of the Principal Contract becomes effective.
Following receipt of a notice provided pursuant to Clause 2.1, the Construction
Contractor shall not be entitled to terminate the Construction Contract (or its
employment thereunder) on or before the Step-In Date save that the Construction
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