Communities and Justice

Why a contract ends

There are three reasons why a contract ends. 

End-of-term

DCJ will contact you before the contract term is due to expire to notify you of the future arrangements for the program.

The future arrangements may involve recommissioning an existing program, and existing contracted providers are invited to deliver the services or procurement process for delivery of a program which has changed.

There are also circumstances where no contract is offered at the expiry of a contract.

Recommissioning a program may involve no changes, and existing contracted providers delivering the services may be invited to participate in a procurement process involving a select tender or a single invited proposal.

Early termination for convenience

A contract may be terminated for convenience, where one or both parties decide to terminate and neither party is at fault. This may include (but is not limited to) the following: 

  • a change to the State budget or any guidelines or policies of the State or Commonwealth government means DCJ are required to cease providing funds
  • a service provider relinquishing its funding
  • a notice of change of control, including mergers, acquisitions and amalgamations involving service providers is not supported by DCJ (noting that DCJ may also have the right to terminate for cause depending on the circumstances)
  • a program ending.

Early termination for cause

DCJ may decide to terminate the contract for cause with immediate effect due to a number of reasons including (but not limited to) when a service provider has:

  • breached the terms of the contract and failed to remedy the breach to the satisfaction of DCJ.  This may include situations where the service provider has failed to meet the required level of performance as specified in the contract  
  • provided a statement which DCJ relied on, and which was incorrect, incomplete, false or misleading in a way which would have affected the original decision to approve the funds
  • had a change of control that DCJ reasonably believes will have an adverse impact on the decision to pay funds or the service provider’s ability to perform contractual obligations
  • suffered an insolvency event
  • had a change to its constitution, rules, memorandum or articles of association or operation which means the service provider is no longer eligible for funds or can no longer comply with the contract
  • lost the requisite authorisations, licenses, accreditation, registrations or consents to be legally capable of providing the services or performing the contractual obligations
  • failed to notify DCJ of a conflict of interest, is unable or unwilling to resolve a conflict of interest or a conflict of interest exists which prevents the performance of contractual obligations

Please refer to your specific contract with DCJ for further information about termination for cause.  

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