Common use of Termination and Rescission Clause in Contracts

Termination and Rescission. 14.1 Any agreement between the Principal and the Contractor may be terminated without notice for good cause. Grounds for good cause shall, in particular but without limitation, include: (i) a serious breach of duty by the Contractor which is not remedied within a reasonable period of time set forth by the Principal after the written complaint is received; (ii) a considerable deterioration of a party's financial situation which threatens to impact such party' s ability to perform its obligations and / or to discharge of its tax and / or social liabilities; or (iii) the purchase or use of the goods or the services is or will be either entirely or partly impermissible due to legal or official regulations. 14.2 If the Contractor has acquired from the Principal any documents, records, plans or drawings within the scope of or for the purposes of fulfilling its duties the Contractor must forthwith hand them over to the Principal in the event of termination by the Principal. These requirements apply likewise in the event of rescission. 14.3 In the event of termination of the Order by the Principal, the Contractor must, at its own expense and regardless of the grounds for termination, forthwith dismantle and remove its plant, tools and equipment. Any waste or debris produced by the Contractor's work must be promptly removed and disposed of appropriately by the Contractor at its own expense.