Page:COVID-19 (Temporary Measures) Act 2020.pdf/14

Rh (14) This section does not apply in such circumstances as may be prescribed by regulations made under section 19.

Additional relief for inability to perform construction contract or supply contract

6.—(1) This section applies to a case mentioned in section 5 where the scheduled contract is a construction contract or supply contract and (to avoid doubt) does not limit the operation of that section.

(2) Despite anything in a performance bond or equivalent given pursuant to the construction contract or supply contract, B may not make a call on the performance bond or equivalent in relation to the subject inability at any time earlier than 7 days before—
 * (a) the date of expiry of the performance bond or equivalent as stated in the performance bond or equivalent; or
 * (b) where the term of the performance bond or equivalent is extended whether under subsection (3) or otherwise, the date of expiry of the performance bond or equivalent following such extension.

(3) Despite anything in a performance bond or equivalent given pursuant to the construction contract or supply contract, where—
 * (a) A makes an application to the issuer of the performance bond or equivalent not less than 7 days before the date of expiry of the performance bond or equivalent, to extend the term of the performance bond or equivalent; and
 * (b) A serves a notice of the application on B at the same time,

then the term of the performance bond or equivalent is extended to a date that is 7 days after the end of the prescribed period, or such other date as may be agreed between A, B and the issuer, and that date or other date (as the case may be) is treated as the date of expiry of the performance bond or equivalent.

(4) Subsection (2) does not apply—
 * (a) after A has withdrawn A's notification for relief; or