Health service procurement: draft statutory guidance - Section 10: termination of contracts
How the draft Health Services (Provider Selection Regime) (Wales) Regulations 2024 applies to the arrangement of health services under the provider selection regime.
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Termination of contracts
The requirements for contract terminations are set out in regulation 24.
Relevant authorities must ensure that each contract awarded contains provisions enabling its termination by the relevant authority if:
- the contract requires modification but the modification is not permitted under the regime (see contract modifications) without following a new procurement process
- the provider, at the time of the contract award, should have been excluded from the procurement process in line with the exclusion criteria set out in regulation 21 and 22
The provisions allowing the termination of a contract may address how such terminations would take place, such as by setting out notice for terminations and by addressing any consequential matters that may arise from that termination. If the contract does not contain specific provisions allowing the relevant authority to terminate on the grounds specified above, there is an implied term of any contract awarded under the regulations that the relevant authority may do so by giving reasonable notice.