8.  [PERFORMANCE FAILURES WITH NO RECTIFICATION TIME110

8.1  Where no Rectification Time is specified in the Service Level Specifications in respect of a Performance Failure, the following provisions shall apply:

8.1.1  On the occurrence of a Performance Failure, the appropriate Deduction shall (subject to paragraph 1.2 (Entitlement to make Deductions), paragraph 1.3 (Entitlement to make Deductions), 2 (Bedding-In Periods) above and paragraph 4 (Tolerances for Minor Performance Failures) above) be made in accordance with paragraph 3 (Amount of Deductions for Performance Failures) above.

8.1.2  Project Co shall Remedy the Performance Failure within the Remedial Period.

8.1.3  If before the expiry of the Remedial Period Project Co Remedies the Performance Failure, no further Deduction shall be made in respect of the Performance Failure.

8.1.4  In the event that the Performance Failure has not been Remedied during the Remedial Period referred to in paragraph 8.1.2 (Performance Failures with no Rectification Time) above (the "Initial Remedial Period"), on expiry of the Initial Remedial Period a further Deduction shall be made in accordance with paragraph 3 (Amount of Deductions for Performance Failures) and a further Remedial Period of equal duration to the Initial Remedial Period shall commence. Deductions shall continue to be incurred upon the expiry of each further Remedial Period, other than the expiry of the Remedial Period in which the Performance Failure is Remedied.]




___________________________________________________________________________

110  See definition of Remedial Period