Water Treatment Plant BOT (New build only) - PPP in Infrastructure ...

This document has been prepared for the purposes of thePPP IN INFRASTRUCTURE RESOURCE CENTER FOR CONTRACTS, LAWS AND REGULATIONS (PPPIRC)website. It is a sample document FOR REFERENCE PURPOSES ONLY and SHOULD NOT BE used as a "model".The inclusion of any legal materials on the PPPIRC website does not mean that they are in any way approved,endorsed or recommended by the World Bank Group or its affiliates. Legal advice should be sought to determinewhether a particular legal document is appropriate for any given project, and how the specific terms of the documentshould be adapted to fit the circumstances of that project14.5 Base Monthly Charge ...................................................................................................2115. CONTRACT PRICE AND PAYMENT .......................................................................2215.1 Payment Mechanism .....................................................................................................2215.2 Regular Payment of Base Monthly Charge ..................................................................2215.3 Taxes .............................................................................................................................2315.4 Suspension ....................................................................................................................2316. TERMINATION ...........................................................................................................2316.1 Default of Supplier ........................................................................................................2316.2 Default of Purchaser .....................................................................................................2416.3 Consequences of Termination.......................................................................................2416.4 Payment on Termination ...............................................................................................2517. RISK AND RESPONSIBILITY ...................................................................................2617.1 Indemnity ......................................................................................................................2617.2 Supplier's Title in the Equipment and Care of the Facility ...........................................2617.3 Release Events ..............................................................................................................2717.4 Consequences of Release Events ..................................................................................2817.5 Patent Rights .................................................................................................................2917.6 Conduct of Claims ........................................................................................................3017.7 Limitation of Liability...................................................................................................3117.8 Survival on Termination ...............................................................................................3118. INSURANCE ................................................................................................................3118.1 Insurance for Services and Equipment .........................................................................3118.2 Insurance against Injury to Persons and Damage to Property ......................................3118.3 Insurance for Workers...................................................................................................3218.4 General Requirements for Insurances ...........................................................................3219. FORCE MAJEURE .......................................................................................................3319.1 Definition of Force Majeure .........................................................................................3319.2 Consequences of Force Majeure Event .........................................................................3319.3 Purchaser's Responsibility ............................................................................................3419.4 Optional Termination, Payment and Release ................................................................3419.5 Release from Performance under the Law ....................................................................3420. CLAIMS AND DISPUTES...........................................................................................3420.1 Procedure for Claims ....................................................................................................3420.2 Negotiations ..................................................................................................................3520.3 Arbitration .....................................................................................................................3520.4 Performance to Continue During Dispute .....................................................................3521. CONFIDENTIALITY ...................................................................................................3621.1 Confidential Information ..............................................................................................3621.2 Exceptions .....................................................................................................................36iii