OpenLegislation

Paragraph 49 Contract sanctions and the NHS dispute resolution procedure

Changes not yet applied. Later legislation changes this provision in ways not yet written into the text below:

(1)

If there is a dispute between the PCT and the contractor in relation to a contract sanction that the PCT is proposing to impose, subject to sub-paragraph (4), the PCT shall not impose the proposed contract sanction, except in the circumstances specified in sub-paragraph (2) or (3).

(2)

If the contractor refers the dispute relating to the contract sanction to the NHS dispute resolution procedure within 28 days beginning on the date on which the PCT served notice on the contractor in accordance with paragraph 30(3) (or such longer period as may be agreed in writing with the PCT), and notifies the PCT that it has done so, the PCT shall not impose the contract sanction unless—

(a)

there has been a determination of the dispute pursuant to paragraph 33 and that determination permits the PCT to impose the contract sanction; or

(b)

the contractor ceases to pursue the NHS dispute resolution procedure,

whichever is the sooner.

(3)

If the contractor does not invoke the NHS dispute resolution procedure within the time specified in sub-paragraph (2), the PCT shall be entitled to impose the contract sanction forthwith.

(4)

If the PCT is satisfied that it is necessary to impose the contract sanction before the NHS dispute resolution procedure is concluded in order to—

(a)

protect the safety of the contractor’s patients; or

(b)

protect itself from material financial loss,

the PCT shall be entitled to impose the contract sanction forthwith, pending the outcome of that procedure.