This paper sets out a checklist of issues for a government to consider when designing or revisiting its framework for managing guarantees.

Can the awarding authority be sued or does it have sovereign immunity? If the awarding authority is part of the government, it may have immunity from prosecution and so it may be necessary for such entity to specifically confirm that it will not be bound by sovereign immunity.

Image by Pixabay

This checklist has been prepared from the point of view of public policy makers and decision-makers in countries at various levels of development and capacities for the purpose of a high level assessment of a PPP project. It seeks to provide public policy makers and managers with a tool that can help them ensure that the key requirements in projects and programs are fulfilled.

Different legal systems have developed different theories in response to this need, including the doctrines of impossibility and frustration in England and the United States and force majeure in France. Under French law force majeure is an event that is unforeseeable, unavoidable and external that makes execution impossible.[1]

Find more related materials at PPP Checklist and Risk Matrix

Tracking Number: Insurance_Checklist_Explanatory_Note_EN

Image by Pixabay

There is increased use of them between public utilities and private parties, often in combination with or following the corporatization of a public utility. 

(April 2008)

This document has been prepared for the purposes of the PPP in Legal Resource Center for contracts, laws and regulations (PPPLRC). It is a checklist for general guidance purposes only and should not be used as a substitute for specific legal advice for a project.

Find more related materials at PPP Checklist and Risk Matrix

Tracking Number: Change_of_Law_Checklist_Sample_Wording_EN

Insurance is an area of project finance that is often left to the end of negotiations, with little attention given to it. Availability of insurance, levels of cover and deductibles will, however, have an impact on the risks being taken by the authority, the operator/ project company and the lenders and so should be central to negotiations.

In order to avoid the uncertainties and delays involved in relying on the applicable law, parties to contracts often prefer to provide for a specific regime for force majeure, along with a definition of which events shall qualify for special treatment.

The term force majeure used in drafting project documents comes originally from the Code Napoléon of France, but should not be confused with the French doctrine. Generally, force majeure means what the contract says it mea