What happens if a supplier breaches a public contract?

Start by reviewing the contract's remedies, notice and dispute resolution provisions. Public contracts commonly include performance management provisions such as service credits, remediation plans and rights to terminate for breach. Record each breach, give written notice as required and allow any cure period, since failing to follow the process can weaken your position. Under the Contract and Commercial Law Act 2017, you may be entitled to cancel for repudiation or a material breach and claim damages, but you should not terminate hastily without legal advice, as a wrongful termination could expose the agency to a claim. Consider whether a negotiated remedy or step-in rights are available. Consider continuity of the service and involve your legal and procurement teams, and ensure the agency's decisions are well documented.