Compensation for Crown Direction Sample Clauses
The "Compensation for Crown Direction" clause establishes the contractor's right to receive compensation if the government (the Crown) issues directions that impact the contractor's work or costs. In practice, this clause applies when the Crown instructs changes, imposes new requirements, or otherwise alters the scope or timing of the contracted work, potentially leading to increased expenses or delays for the contractor. Its core function is to ensure that contractors are fairly compensated for additional costs or losses directly resulting from government-mandated changes, thereby allocating risk and maintaining fairness in the contractual relationship.
Compensation for Crown Direction. If a Compulsory Variation is required to give effect to a Crown Direction and the variation has the potential to result in increased costs or decreased revenue to PHOs, the DHB will:
(a) consult with the PHO on the options available to prevent or minimise any adverse financial or other impacts as a result of the Crown Direction; and
(b) use its best endeavours to prevent or minimise any adverse financial or other impact of the variation on the PHO; and
(c) not be liable for any loss or additional costs suffered or incurred by the PHO unless the DHB agrees otherwise.
Compensation for Crown Direction. If a Compulsory Variation is required to give effect to a Crown Direction and the variation has the potential to result in increased costs or decreased revenue to PHOs, the DHB will: consult with the PHO on the options available to prevent or minimise any adverse financial or other impacts as a result of the Crown Direction; and use its best endeavours to prevent or minimise any adverse financial or other impact of the variation on the PHO; and not be liable for any loss or additional costs suffered or incurred by the PHO unless the DHB agrees otherwise. Agreeing the variation: Unless the DHB is precluded from doing so because there is insufficient time to seek the PHO's comments before the relevant Crown Direction, law change, or fees increase comes into effect, the DHB will specify a period of time that is reasonable in the circumstances, being at least 20 Business Days, within which the PHO must provide its comments on the proposed draft of the variation (if any) to the DHB. After that period has expired or the PHO has provided its comments, we will seek to agree on the terms of the variation. The DHB will consider the PHO's comments, however, the PHO acknowledges that the DHB may require a uniform variation to apply to all PHOs. Commencement of variation: The variation will commence as set out below: if we agree on the terms of the variation, the variation will commence on the day that the relevant Crown Direction, law change or fees increase comes into effect, or at any earlier time agreed by us; or if we cannot agree on the terms of the variation before the relevant Crown Direction, law change or fees increase comes into effect, this Agreement will be deemed to be varied on the terms set out in the proposed draft of the variation referred to in subclause (1), subject to any changes that the DHB has agreed with the PHO, on the day that the relevant Crown Direction, law change or fees increase comes into effect. If provision of the Services is no longer viable: If this Agreement is varied in accordance with subclause (5)(b) and it is no longer viable, financially or otherwise, for the PHO to continue providing the Services that have been affected by the variation, the PHO may terminate this Agreement or the obligation to Provide the relevant Services, if the PHO gives the DHB prior notice of the PHO's intention to do so, the period of such notice to be reasonable in the circumstances, considering the impact of the variation on the PHO and the impact of...