Common use of Consequences of Delay Clause in Contracts

Consequences of Delay. 20.5.1 Subject to Clause 20.5.2, the Contractor shall be responsible for and shall, for a period from the Planned Services Commencement Date to the earlier of the Services Commencement Date and the Acceptance Longstop Date, indemnify the Authority from and against any and all costs, taxes, fines and losses incurred by the Authority as a direct result of Service Commencement occurring after the Planned Service Commencement Date, including but necessarily limited to costs, taxes, fines and losses which relate to: (a) Landfill Tax; (b) gate fees relating to Landfill (or relating to any other form of disposal used by the Authority); (c) costs relating to haulage and costs and losses arising from disruption of the Authority’s and/or the WCA’s waste collection and transfer arrangements; and (d) LATS Liabilities or liabilities arising from any regime that replaces LATS, but only to the extent such costs, taxes, fines and losses are in excess of the amounts that would have been payable pursuant to this Contract by the Authority to the Contractor had Service Commencement occurred on the Planned Service Commencement Date; 20.5.2 The Authority shall use reasonable endeavours to mitigate such costs. 20.5.3 For the avoidance of doubt, the total liability of the Contractor pursuant to this Clause 20.5 shall be limited to the additional costs, taxes, fines and losses incurred by the Authority in the period between the Planned Service Commencement Date and: (a) the Service Commencement Date; or (b) if earlier, the Acceptance Longstop Date. 20.5.4 For the further avoidance of doubt (and without prejudice to the Authority’s rights inter alia to claim against the Guarantor under the Parent Company Guarantee), if any costs, taxes, fines and/or losses claimed by the Authority pursuant to Clause 20.5.1 are due and payable but remain unpaid by the Contractor on or after Service Commencement, then the Authority shall be entitled pursuant to Clause 46 (Set Off) to set off the amount of such costs, taxes, fines and/or losses owed to it by the Contractor against any amount due to the Contractor under this Contract.

Consequences of Delay. 20.5.1 Subject to Clause 20.5.2, the Contractor shall be responsible for and shall, for a period from the Planned Services Commencement Date to the earlier of the Services Commencement Date and the Acceptance Longstop Date, indemnify the Authority from and against any and all costs, taxes, fines and losses incurred by the Authority as a direct result of Service Commencement occurring after the Planned Service Services Commencement Date, including but necessarily limited to costs, taxes, fines and losses which relate to: (a) Landfill Tax; (b) gate fees relating to Landfill (or relating to any other form of disposal used by the Authority); (c) costs relating to haulage and costs and losses arising from disruption of the Authority’s and/or the WCA’s waste collection and transfer arrangements; and (d) LATS Liabilities or liabilities arising from any regime that replaces LATS, but only to the extent such costs, taxes, fines and losses are in excess of the amounts that would have been payable pursuant to this Contract by the Authority to the Contractor had Service Commencement occurred on the Planned Service Services Commencement Date; 20.5.2 The Authority shall use reasonable endeavours to mitigate such costs. 20.5.3 For the avoidance of doubt, the total liability of the Contractor pursuant to this Clause 20.5 shall be limited to the additional costs, taxes, fines and losses incurred by the Authority in the period between the Planned Service Services Commencement Date and: (a) the Service Services Commencement Date; or (b) if earlier, the Acceptance Longstop Date. 20.5.4 For the further avoidance of doubt (and without prejudice to the Authority’s rights inter alia to claim against the Guarantor under the Parent Company Guarantee), if any costs, taxes, fines and/or losses claimed by the Authority pursuant to Clause 20.5.1 are due and payable but remain unpaid by the Contractor on or after Service Commencement, then the Authority shall be entitled pursuant to Clause 46 (Set Off) to set off the amount of such costs, taxes, fines and/or losses owed to it by the Contractor against any amount due to the Contractor under this Contract.