6.3.8 Managing the Relationship After Termination of the Contract

Given the complexity of waste PFI/PPP projects the termination of the Contract does not typically signal the end of all of the parties' legal obligations to each other. Some clauses in the Contract will generate obligations that will remain in place even if the Contract is terminated.   

The WIDP Contract (Clause 78) list out the clauses that give rise to rights and obligations that continue after termination. These are: 

•   Clause 10 - Land Issues;

•   Clause 36 - Employment Matters;

•   Clause 45 - Invoicing and Payment;

•   Clause 47 - Late Payments;

•   Clause 54 - Contractor Records and Provision of Information;

•   Clause 55 - Required Insurances;

•   Clause 56 - Reinstatement;

•   Clause 57 - Uninsurability;

•   Clause 60 - Dispute Resolution;

•   Clause 61- Indemnities;

•   Clause 80.9 - Transfer of Responsibility;

•   Clause 85 - Freedom of Information;

•   Clause 87 - Intellectual Property;

•   Clause 98 - Notices; and

•   Clause 100 - Governing Law and Jurisdiction.

The Contract Management Manual should highlight this issue and the need for the Contract Manager to ensure that the arrangements in relation to the termination of the Contract recognise the ongoing need to manage continuing obligations.