POL00031124
POL00031124
Oi-MAR-1999 14:58 FROM BIRD & BIRD GRO_ P.01703
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POL00031124
POL00031124
GicMAR-1999 14:58 FROM BIRD & BIRD
HXR/SJB
1 March 1999
DRAFT
Without Prejudice and Subject to Contract
Thank you for your letter of 25 February, Tam disappointed - and somewhat puzzled
that you should wish, at this point, to change the basis of our discussions that have
served us well over the life of the project to date.
As I read your letter, it would appear that you wish to establish that a contractually
binding project plan was agreed in correspondence following the Corbett discussions
of last year. This ignores, however, that those discussions were without prejudice to
the notice of breach ‘of 24 November 1997 and were, in any event, by necessity subject
to contract. What this meant, as we have repeatedly made clear, is two things. First,
by discussing a revised project plan, the Authorities did not waive any of their rights
and remedies with respect to earlier project delays including in particular, ICL
Pathway’s failure to complete the Operational Trial by the due date of 21 November
¢ 1997 (which was agreed in CCN105). Second, unless and until formally agreed in
i accordance with our change control procedures, any revised project plan arising from
these discussions is informal and not contractually binding.
Scale sect the DSS has unilaterally varied the multi benefit testing
programme, for the reasons already explained,e
the current testing programme has no contractual status. 7
earlier Sette:
miod Desember. 1998, TaSt Teal
Continued...../
P.62/83
, _SicMAR-1999 14:59 FROM BIRD & BIRD
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Tremendous progress has been made by all parties in moving towards a resolution of
these matters, As you acknowledge in your letter this can only progress if matters are
to proceed on a “without prejudice” and “subject to contract” basis, I believe it is in
all our interests to establish an agreed and practicable basis for taking forward the day
to day work on the project, while discussions on the wider aspects of the project’s
future continue.
IT hope you will consider that this is a constructive way forward and will agree to
Tesume our meeting on this basis.
Yours sincerely
Dave Miller
cc: Vince Gaskell, BA Project Director _
P.03/83
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