Civil Law System Essay

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Civil Law Systems - Key Terms Implied by Law That Can Impact PPP Arrangements In many civil law countries a separate administrative law governs PPP arrangements. A number of the key administrative rules that apply to delegated management arrangements are listed below[¹]. It is important to seek local legal advice to check whether these rules apply in a particular civil system. It is also important to note that in a civil law jurisdiction, unless the contract specifies that the parties have agreed to arbitration, the contract will be enforced by the administrative courts. * Rights of contracting authority that may override contractual provisions * Protections of operator implied by law * Other Civil Law rules that can impact PPP arrangements Rights of contracting authority that may override contractual provisions • Right of unilateral modification. The contracting authority may, as in France, have the right to modify aspects of the contract unilaterally when it deems the change to be in the public interest. The contracting authority does not have the right to change the contract’s financial provisions or its fundamental nature, but it can change such aspects as the specification of the service to be provided. • Right of unilateral cancellation. The contracting authority has the right to cancel the contract early (although it must compensate the operator). • Right to continuity of service. The operator in an administrative contract may not suspend the execution of its obligations under the contract, even if the contracting authority breaches the contract. Under a concession or affermage-lease, the operator is deemed to assume duties relating to operating a public service, even beyond those included in the contract (such as investing to address increasing demand or adapting to new technologies). back to top Protections of operator implied by law •
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