Health Services Act 1997

On the issue of the statutory termination notice, the Healthscope NBH entities are liable to pay to the NBH State Counter-parties the following compensation—

handover costs, including transition costs and remediation costs, being the costs expected to be reasonably incurred by the State in assuming control of Northern Beaches Hospital, or a part of it, and transitioning the operation of the hospital, or a part of it, to—

the public health system, or

another person or body,

other costs prescribed by the regulations.

The regulations may specify costs that are and are not handover costs for subclause (1)(a).

The compensation payable under subclause (1) is in addition to any amount payable by the Healthscope NBH entities to the NBH State Counter-parties under the Northern Beaches Hospital Deed.

However, if the NBH State Counter-parties are entitled to, and recover, an amount under the Northern Beaches Hospital Deed for specific handover costs, however described, the NBH State Counter-parties are not entitled to recover an amount under this clause for the same handover costs.

An amount of compensation owed by the Healthscope NBH entities to the NBH State Counter-parties under this clause must be set off against any amount owing by the NBH State Counter-parties to the Healthscope NBH entities under the Northern Beaches Hospital Deed.