Power to terminate an agreement18
1
The administrator may terminate an umbrella agreement if the sector association contravenes the agreement.
2
The administrator may terminate an umbrella agreement if the sector association fails to agree a variation in a sector commitment proposed under the terms of the agreement.
3
The administrator may terminate an underlying agreement if the operator contravenes the agreement unless the contravention has given rise to the imposition of a financial penalty.
4
If the contravention of the agreement has given rise to the imposition of a financial penalty, the administrator may only terminate the underlying agreement if the operator fails to—
a
pay the financial penalty by the date specified in the notice under regulation 16; or
b
take the steps to remedy the contravention specified in that notice by the date so specified.
5
The administrator may terminate an underlying agreement if the operator fails to agree a variation in a target proposed under the terms of the underlying agreement.
6
For the purposes of this regulation, a failure to meet, or to make progress towards meeting, targets does not constitute a contravention of an agreement.