Common use of Overspend Clause in Contracts

Overspend. 7.1 Without prejudice to Clause 6, the Partners shall keep each other informed of the budgetary position and of any projection that the Pooled Fund will be insufficient to meet projected or actual expenditure in any current Financial Year (an “Overspend”) within five (5) Working Days of such projection being made. 7.2 Whenever an Overspend is projected, the Representatives of the Partners shall meet with the Pooled Fund Manager and discuss within a reasonable period of such Overspend being projected proposals for management of the Overspend. The Partners shall prepare a joint plan for the management of that projected overspend in order to achieve financial balance and the Partners shall keep the position under review. The Partners shall act in good faith and in a reasonable manner in agreeing the management of the Overspend. 7.3 If, notwithstanding the provisions of Clause 7.2, there is an Overspend at the end of the Financial Year the Representatives of the Partners shall meet with the Pooled Fund Manager and identify the reasons for the Overspend and must demonstrate that the Overspend was projected at the earliest opportunity and that all reasonable endeavours have been made to rectify such Overspend. 7.4 The Partners shall meet such Overspend in the percentages equal to their Financial Contributions.

Overspend. 7.1 11.1 Without prejudice to Clause 610, the Council and the Board Partners shall keep each other informed of the budgetary position and of any projection that the Pooled Fund will be insufficient to meet projected or actual expenditure in any current Financial Year (an “Overspend”) within five (5) Working Days of such projection being made. 7.2 11.2 Whenever an Overspend is projected, the Representatives of the Council and the Board Partners shall meet with the Pooled Fund Manager and discuss within a reasonable period of such Overspend being projected proposals for management of the Overspend. The Partners shall prepare a joint plan for the management of that projected overspend in order to achieve financial balance and the Partners shall keep the position under review. The Partners shall act in good faith and in a reasonable manner in agreeing the management of the Overspend. 7.3 11.3 If, notwithstanding the provisions of Clause 7.211.2, there is an Overspend at the end of the Financial Year the Representatives of the Council and the Board Partners shall meet with the Pooled Fund Manager and identify the reasons for the Overspend and must demonstrate that the Overspend was projected at the earliest opportunity and that all reasonable endeavours have been made to rectify such Overspend. 7.4 11.4 The Partners shall meet such Overspend in the percentages equal to their Financial Contributions.