Termination of research contracts
Research contracts will usually set out circumstances where a party can terminate a project before it is completed, with or without mutual agreement, for example if one party is in breach.
Researchers should be aware of any situations where another party can terminate early, including any required notice periods, timelines for responding to alleged breaches, or other circumstances. Note some contracts may include a broad right to terminate ‘for convenience’, which may permit a party to terminate at any time for any reason.
If the other party has a right to terminate early, the University should ensure it does not have any legal commitments to staff, payments, subcontractors or other parties that it will not be able to meet. If the University intends to enter into any subcontracts, it is important to include a right to terminate in the event that the head agreement is terminated for any reason.
The University should always ensure its own rights to terminate are included in a research contract, for example if another party is in breach, or if the researcher becomes unavailable for any reason to complete the project.
If you have any queries, please contact Legal Services for advice on 9479 2495.
This article provides general information only. It is not a complete or definitive statement of the law on the subject matter. Formal legal advice should be sought in relation to particular matters.