Government's implied obligations

Partnerships Victoria contracts expressly impose obligations on the government party (such as service payment obligations) and there are also likely to be implied obligations on the government party. In particular, the contract director should be aware of implied obligations for the government party to:

•  refrain from engaging in any activity which would hinder the ability of the private party to fulfil its contractual obligations or deprive the private party of the benefit of the contract; or

•  act reasonably and in good faith when performing obligations or exercising discretions under the project deed.