Part 2

Single source contracts

Compliance

Compliance notice
31
1
The Secretary of State may give a person a compliance notice if the Secretary of State thinks—
a
that the person has contravened this section, and
b
that there are steps that can be taken by the person to remedy the contravention.
2
A compliance notice is a notice which—
a
specifies those steps, and
b
directs the person to take them.
3
A person (“P”) contravenes this section if—
a
P fails to comply with one or more specified requirements imposed by virtue of—
i
section 23 (duty to keep accounting and other records), or
ii
section 24 or 25 (reports),
b
P provides a specified report under section 24 that is misleading in a material respect and P—
i
knows that the report is misleading, or
ii
is reckless as to whether the report is misleading,
c
P fails to comply with the duty under section 26 (duty to notify Secretary of State of occurrence etc of a relevant event),
d
in circumstances where P is required to make an assessment under section 29(1) or (3) in respect of a proposed contract, P fails to make such an assessment,
e
P makes a negative assessment under section 29(1) or (3) in respect of a proposed contract and the Secretary of State believes that that assessment is incorrect ...
f
in circumstances where P is required to give the notice mentioned in section 29(2)(b) or (4)(b) in respect of a proposed contract, P fails to give such a notice , or
g
in circumstances where P is required to give the notice mentioned in section 29(2)(c) or (4)(c) in respect of a proposed contract, P fails to give such a notice.
4
In subsection (3)—
a
“specified” means specified in single source contract regulations;
b
“negative assessment” means an assessment that the proposed contract would not be a qualifying sub-contract if it (and, in a case within section 29(3), the proposed qualifying defence contract) were entered into.
5
A compliance notice must be given before the end of the period specified in single source contract regulations.
6
A compliance notice must—
a
give details of the contravention,
b
specify the period within which the steps specified in the notice must be taken, and
c
state that, if P fails to take those steps, the Secretary of State may give P a penalty notice under section 32.
S. 31 in force at 14.7.2014 for specified purposes by S.I. 2014/1751, art. 4(o)
S. 31 in force at 5.12.2014 in so far as not already in force by S.I. 2014/3162, art. 3(c)
Word in s. 31(3)(e) omitted (19.1.2024) by virtue of Procurement Act 2023 (c. 54), s. 127(2), Sch. 10 para. 17(a); S.I. 2024/61, reg. 2(1)(b)(vii) (with reg. 3)
S. 31(3)(g) and word inserted (19.1.2024) by Procurement Act 2023 (c. 54), s. 127(2), Sch. 10 para. 17(b); S.I. 2024/61, reg. 2(1)(b)(vii) (with reg. 3)