Agreement sanctions and the NHS dispute resolution procedureE+W
64.—(1) If there is a dispute between the Board and the contractor in relation to an agreement sanction that the Board is proposing to impose, the Board may not, subject to sub-paragraph (4), impose the agreement sanction except in the circumstances specified in sub-paragraphs (2) and (3).
(2) The circumstances specified in this sub-paragraph are if the contractor—
(a)refers the dispute relating to the agreement sanction to the NHS dispute resolution procedure before the end of the period of 28 days beginning with the date on which the contractor was given notice by the Board in accordance with paragraph 60(4) (or such longer period as may be agreed in writing with the Board); and
(b)gives notice in writing to the Board that it has done so.
(3) Where the circumstances specified in sub-paragraph (2) apply, the Board may not impose the agreement sanction unless—
(a)there has been a final determination of the dispute in accordance with regulation 77 (or by a court) and that determination permits the Board to impose the agreement sanction; or
(b)the contractor ceases to pursue the NHS dispute resolution procedure,
whichever is the sooner.
(4) If the contractor does not invoke the NHS dispute resolution procedure before the end of the period specified in sub-paragraph (2)(a), the Board may impose the agreement sanction with immediate effect.
(5) If the Board is satisfied that it is necessary to impose the agreement sanction before the NHS dispute resolution procedure is concluded in order to protect—
(a)the safety of the contractor's patients; or
(b)itself from material financial loss,
the Board may impose the agreement sanction with immediate effect, pending the outcome of that procedure (or any court proceedings).