Reduction Suspension and Termination Clause Samples
The 'Reduction, Suspension and Termination' clause defines the circumstances and procedures under which a party may reduce, temporarily suspend, or permanently terminate its obligations under a contract. Typically, this clause outlines specific triggers such as breach of contract, non-performance, or force majeure events that justify such actions, and may require advance notice or adherence to certain formalities. Its core practical function is to provide a clear framework for adjusting or ending contractual commitments in response to significant issues, thereby managing risk and ensuring both parties understand their rights and remedies if problems arise.
Reduction Suspension and Termination. 19.1 Reduction in scope of agreement for fault
19.1.1 If the Grantee does not comply with an obligation under this Agreement and the Commonwealth believes that the non-compliance is incapable of remedy, or if the Grantee has failed to comply with a notice to remedy, the Commonwealth may by written notice reduce the scope of the Agreement.
19.1.2 The Grantee agrees, on receipt of the notice of reduction, to:
(a) stop or reduce the performance of the Grantee’s obligations as specified in the notice
(b) take all available steps to minimise loss resulting from the reduction
(c) continue performing any part of the Activity or the Agreement not affected by the notice if requested to do so by the Commonwealth
(d) report on, and return any part of, the Grant to the Commonwealth, or otherwise deal with the Grant, as directed by the Commonwealth.
19.1.3 In the event of reduction under clause 19.1.1, the amount of the Grant will be reduced in proportion to the reduction in the scope of the Agreement.
Reduction Suspension and Termination. 20.1 ARIIA may immediately reduce the scope of the Agreement, suspend payment of any amount of the Grant or terminate this Agreement, by notice in writing to the Recipient if:
(a) ARIIA reasonably considers there is fraud, misleading or deceptive conduct on the part of the Recipient in connection with the Project;
(b) the Recipient fails to comply with clauses 13.1 and 14;
(c) a milestone has not been successfully delivered in accordance with the Proposal and such non-delivery has not been rectified following a reasonable period of notice, as determined by ▇▇▇▇▇;
(d) ARIIA reasonably believes that the Recipient is unable to complete the Project or manage the Funding in accordance with this Agreement;
(e) the Recipient commits any breach of this Agreement (including the withdrawal of a Participating Organisation from the Project which may (in ARIIA’s opinion) have a material adverse effect on the Project) that ▇▇▇▇▇, acting reasonably, considers is capable of remedy, and the Recipient has failed to rectify that breach within 30 days of notice from ARIIA requiring the breach to be remedied;
(f) the Recipient commits any material breach of this Agreement which ARIIA, acting reasonably, considers is not capable of remedy;
(g) the Commonwealth Grant has been reduced, suspended or terminated;
(h) ARIIA has failed to receive the Commonwealth Funding, or an instalment of the Commonwealth Funding, required for this Agreement other than through a temporary or unintended failure; or
(i) the Commonwealth has directed ARIIA to reduce in scope, suspend or terminate the Project.
Reduction Suspension and Termination. Notwithstanding any other provisions of this Agreement, the Director General may by notice to the Agent at any time and in his sole discretion do any of the following including taking more than one of the following actions.
Reduction Suspension and Termination. 10.1 Notwithstanding any other provisions of this Agreement, the Director General may by notice to the Agent at any time and in his sole discretion do any of the following including taking more than one of the following actions.
(a) reduce the scope of Services;
(b) temporarily suspend this Agreement;
(c) terminate this Agreement by notice.
10.2 In exercising the powers under Clause 10.1:
(a) upon receiving notice under Clause 10.1, the Agent must immediately cease the provision of all Services within time period set forth in the notice;
(b) the Agent will not be entitled to compensation for loss of prospective profits or on any other basis.
Reduction Suspension and Termination