The General Medical Services (Transitional and Other Ancillary Provisions) (Scotland) Order 2004

Effect of contractors entering into a GMS contract

40.  If a contractor who has entered into a default contract thereafter enters into a GMS contract which takes effect immediately after its default contract ceases to have effect, the Health Board that is a party to the GMS contract must ensure that the GMS contract–

(a) contains a condition to the effect that all rights to further payments under the default contract are surrendered (they are hereby extinguished);

(b) takes effect, for payment purposes, on 1st April 2004;

(c) contains a condition to the effect that any payment that has been made under the default contract that could have been made, had the contractor entered into a GMS contract on 1st April 2004–

(i) as a payment on account under the GMS contract, shall be treated as a payment on account under the GMS contract (and for these purposes any payment of one twelfth of a final global sum equivalent under the default contract shall be treated as a payment on account in respect of a payable global sum monthly payment);

(ii) as a payment under the GMS contract, shall be treated as a payment under the GMS contract,

and accordingly any condition that attaches, or is to be attached, to such a payment, when made under a GMS contract, by virtue of the GMS Statement of Financial Entitlements or the Premises Costs Directions, is attached to that payment; and

(d) where appropriate, contains a condition to the effect that any payment that has been made under the default contract pursuant to article 36(8) is set off, equitably, against any payment for equivalent services provided under the GMS contract.