PART 4HEALTH SERVICE BODY STATUS
Health service body status9
1
A contractor shall be regarded as a health service body for the purposes of section 4 of the 1990 Act from the date it makes an agreement unless—
a
in the case of an agreement with a single individual or qualifying body, that individual or body; or
b
in the case of any other agreement, the proposed parties to the agreement (other than the Relevant Body),
object in a written notice served on the Relevant Body at any time prior to the agreement being made.
2
Where a contractor is to be regarded as a health service body for the purposes of section 4 of the 1990 Act pursuant to paragraph (1), any change in the parties comprising the contractor shall not affect the health service body status of the contractor.
3
If, pursuant to paragraph (1) or (4), a contractor is to be regarded as a health service body, that fact shall not affect the nature of, or any rights or liabilities arising under, any other agreement or contract with a health service body entered into by that contractor before the date on which the contractor is to be so regarded.
4
A contractor may at any time request a variation of the agreement to include or remove provision from the agreement that the agreement is an NHS contract, and if it does so—
a
the Relevant Body shall agree to the variation; and
b
the procedure in paragraph 60(1) of Schedule 3 (variation of a contract: general) shall apply.
5
Where, pursuant to paragraph (4), the Relevant Body agrees to a variation of the agreement, the contractor shall—
a
be regarded; or
b
subject to paragraph (7), cease to be regarded,
as a health service body for the purposes of section 4 of the 1990 Act from the date that variation takes effect pursuant to paragraph 60(1) of Schedule 3.
6
Subject to paragraph (7), a party or parties who were to be regarded as a health service body pursuant to paragraphs (1) or (4), as the case may be, shall cease to be a health service body for the purposes of section 4 of the 1990 Act if the agreement is terminated.
7
Where a contractor ceases to be a health service body pursuant to—
a
paragraph (5) or (6), it shall continue to be regarded as a health service body for the purposes of being a party to any other NHS contract entered into after it became a health service body but before the date on which the contractor ceased to be a health service body (for which purposes it ceases to be such a body on the termination of that NHS contract);
b
paragraph (5), it shall, if it or the Relevant Body has referred any matter to the NHS dispute resolution procedure before it ceases to be a health service body, be bound by the determination of the adjudicator as if the dispute had been referred pursuant to paragraph 54 of Schedule 3 (dispute resolution: non-NHS contracts);
c
paragraph (6), it shall continue to be regarded as a health service body for the purposes of the NHS dispute resolution procedure where that procedure has been commenced—
i
before the termination of the agreement; or
ii
after the termination of the agreement, whether in connection with, or arising out of, the termination of the agreement or otherwise,
for which purposes it ceases to be such a body on the conclusion of that procedure.