67.4  Persistent Breach

67.4.1  If a particular breach during the Services Period143 (other than any breach for which adjustments and/or deductions in accordance with Schedule 4 (Payment Mechanism) could have been made) has continued for more than [fourteen (14)] days or occurred more than [three (3)] times in any [six (6)] Month period then the Authority may serve a notice on the Contractor:

(a)  specifying that it is a formal warning notice;

(b)  giving reasonable details of the breach; and

(c)  stating that the breach is a breach which, if it recurs frequently or continues, may result in a termination of this Contract.

67.4.2  If, following service of a warning notice the breach specified has continued beyond thirty (30) Business Days or recurred [two (2)] or more times in the [six (6)] Month period after the date of service, then the Authority may serve another notice (a Final Warning Notice) on the Contractor:

(a)  specifying that it is a Final Warning Notice;

(b)  stating that the breach specified has been the subject of a warning notice served within the [six (6)]144 Month period prior to the date of service of the Final Warning Notice; and

(c)  stating that if the breach continues or recurs for more than [fourteen [14]] days or recurs [         ] or more times within the [six (6)]145 Month period after the date of service of the Final Warning Notice, this Contract may be terminated.

67.4.3  A warning notice may not be served in respect of any breach which has previously been counted in the making of a separate warning notice.

______________________________________________________________________________________

143  Persistent Breach is limited in this circumstance on the assumption that the Works are being carried out on a site which is industrial (and not residential).  Authority to consider extending the provisions to the Works Period where this assumption is not correct.

144  The time periods should be fixed by reference to the nature of the Project.

145  The time periods should be fixed by reference to the nature of the Project.