Paragraph 1 Application of ScheduleF1

This Schedule applies if the parties to a qualifying defence contract propose to amend the contract in a way that would affect the original contract price.

Such an amendment is referred to in this Schedule as a “pricing amendment” F2of the contract or a component of the contract.

In this Schedule—

• “original contract price”, in relation to a qualifying defence contract F3or component of such a contract, means—

  1. (a)

     the price determined in accordance with F4a contract pricing method, or

  2. (b)

     where the contract F5or component has previously been amended in a way that affects the price payable under the contract or component, the price determined or, as the case may be, last determined in accordance with this Schedule;

• “the parties”, in relation to a qualifying defence contract, means—

  1. (a)

     the Secretary of State, and

  2. (b)

     the primary contractor.