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Departmental Contracts

Volume 504: debated on Thursday 21 January 2010

To ask the Minister of State, Department for Business, Innovation and Skills how many contractual disputes with third party suppliers his Department lost as a result of unenforceable penalty clauses in (a) 2005-06, (b) 2006-07, (c) 2007-08 and (d) 2009-10 to date; what (i) the cumulative monetary value of the contracts involved in each year and (ii) the amount awarded to the supplier in each case was; and how much the Department was entitled to but did not claim under such disputes in each year. (311415)

The Department's contract terms do not as standard include a liquidated damages or "penalty" condition. A liquidated damages clause would only be used on a case by case basis where warranted by the particular characteristics of the procurement requirement.

Further information is not held centrally and could be provided only at disproportionate cost.

To ask the Minister of State, Department for Business, Innovation and Skills what expenditure his Department incurred as a result of contractual disputes with third party suppliers in (a) 2005-06, (b) 2006-07, (c) 2007-08 (d) 2008-09 and (e) 2009-10 to date; and how much was awarded to each supplier in each such case. (311416)

The information requested is not held centrally and could be provided only at disproportionate cost.