16.1
16.2
16.3
16.4
16.5
16.6

16.1

During the Agreement Period the Participant must use Assets only for performance of this Agreement.

16.2

The Participant must:
  1. not encumber or dispose of any Asset, or deal with or use any Asset other than in accordance with this clause, without the prior written approval of the Commonwealth

  2. hold all Assets securely and safeguard them against theft, loss, damage or unauthorised use

  3. maintain all Assets in good working order

  4. maintain all appropriate insurances in respect of any Assets

  5. be fully responsible for, and bear all risks arising in relation to, the use or disposal of any Asset

  6. maintain a register of all Assets recording the date of purchase or lease, the purchase or lease price, Asset description including serial number, Asset location, the proportion of the Funds used to create or acquire the Asset, the Depreciated value of the Asset and (where relevant) details of Asset disposal including the sale price and

  7. as and when requested, provide copies of the register of Assets to the Commonwealth.Top of page

16.3

The Participant must obtain prior agreement in writing from the Commonwealth before selling or otherwise disposing of an Asset during the Agreement Period. If, at the time of the sale or disposal, the Asset has not been fully Depreciated the Participant must, at the option of the Commonwealth:
  1. pay to the Commonwealth within 20 Business Days of the date of the sale or disposal, an amount equal to the proportion of the value of the Asset following Depreciation that is equivalent to the proportion of the purchase price of the Asset that was funded from the Funds

  2. pay to the Commonwealth within 20 Business Days of the date of the sale or disposal, the proceeds of the sale or disposal, less an amount equal to the sum of the Participant's proportionate contribution to the purchase price of the Asset and the Participant's reasonable costs of sale or disposal of the Asset or

  3. use the amount specified in (a) or (b) above for a purpose approved in writing by the Commonwealth.

16.4

If, on the expiration or early termination of this Agreement, an Asset has not been fully Depreciated the Participant must, at the option of the Commonwealth:
  1. pay to the Commonwealth within 20 Business Days after expiry or early termination of this Agreement, an amount equal to the proportion of the value of the Asset following Depreciation that is equivalent to the proportion of the purchase price of the Asset that was funded from the Funds

  2. sell the Asset for the best price reasonably obtainable and pay to the Commonwealth within 20 Business Days of the date of sale the proceeds of sale, less an amount equal to the sum of the Participant's proportionate contribution to the purchase price of the Asset and the Participant's reasonable costs of disposal of the Asset or

  3. use the Asset on such terms and conditions as may be approved in writing by the Commonwealth.

16.5

If the Participant fails to make payment as required by either clause 16.3 or clause 16.4:
  1. the Participant must pay the Commonwealth Interest on the relevant amount from the date it was due, for the period it remains unpaid and

  2. the relevant amount, and Interest owed under this clause will be recoverable by the Commonwealth as a debt due to the Commonwealth by the Participant.

16.6

This clause survives the expiration or early termination of this Agreement.
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