Default Damages. A Practitioner who fails to begin or complete his or her SHARP service obligation or otherwise breaches the terms and conditions of this MOA, shall be in default of this MOA and liable for damages under this provision, as follows: the total of the amounts paid by the Alaska SHARP Program (including both United States HRSA funds and non-federal matching funds) to, or on behalf of, the Practitioner for loan repayments for any period of obligated service not served or during which the Practitioner is in default; an amount equal to the number of months of obligated service not completed multiplied by $7,500; and interest on the above amounts at the maximum legal prevailing rate, as determined by the U.S. Treasurer, from the date of breach, except that the amount the SHARP Program is entitled to recover shall not be less than $31,0005. If the Practitioner has signed the MOA but fails to begin clinical work at the Site, then the minimum penalty owed will be $31,000. In-kind repayment is not allowed. Further, the remaining planned but yet-to–be-distributed balance of contract’s funds will not be paid to or on behalf of the Practitioner. In addition to financial consequences, the following will occur: (1) the Practitioner will be recorded as having left program in the status of “Not In Good Standing”; (2) the Practitioner will be recorded as having defaulted on his/her SHARP service contract; (3) the SHARP Program may report this contractual default status to future or potential employer(s) and/or other support-for-service program(s) regardless of whether those program(s) are state, federal, private or blended; and (4) the Practitioner will be barred from future participation in the SHARP Program or any similar DHSS program.
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