industry continuing the work allocated to the withdrawing participant.Consider whether the MoU should include provisions for:.However, if a participant finds it necessary to withdraw, wholly or partly, from the program, provisions should be made for consultations between the participants on the consequences of such withdrawal. The withdrawal provisions should be aimed at compromise. State whether a withdrawing participant should meet its own commitments up to the effective date of withdrawal.Whenever practicable, the effective withdrawal date should coincide with the completion of a phase. Specify the withdrawal provisions that should be adopted for each phase of the project.Include the following paragraph: “ Either participant may withdraw, at any time, upon presentation of ( ) days (months) written notice.” Provide for the conditions under which the participant may withdraw.Include the following paragraph: “ This MoU may be terminated at any time, with the mutual written consent of the participants.” Provide for the participants' termination of the MoU by unanimous consent on conditions to be established at the time.If the MoU is for a fixed term, include the following paragraph: “ This MoU will remain in effect for a period of ( ) years from the effective date.” The Duration, Withdrawal and Termination section should: Determine the time allowed to the board to establish its report and the publicity to be given to the report. independent personal, national reports or preferably, a single joint report). Specify the nature of the audit report (i.e.Ensure that due account is taken of any legitimate interests of the national audit bodies external to the defence organization of the participants, when these are not represented in the joint international board of auditors.Specify the nature, frequency and extent of the audit to be performed, bearing in mind that any disruption of the program should be avoided.Therefore, it may be appropriate for some participants to be represented by several auditors. Some nations are bound by law, statute or general practice to choose specific types of representatives. In the case of an international MoU, where a joint international board of auditors appears appropriate, specify the composition of the board.Determine who should perform the audit.Establish and value any nonfinancial contributions by a participant that are to be reflected in that participant's cost share.This will provide grounds for adjustments to financial contributions. Establish provisions for assessing changes of program costs that may result from such things as inflation, currency fluctuations, and technical changes.Identify any common costs to be shared by the participants and any costs for noncommon requirements to be borne by the participant(s) incurring the costs.Prescribe the method of sharing the costs of the collaborative effort among the participants.Determine who may change the cost ceiling and under what circumstances.Establish a cost ceiling for the arrangement and each participant.The Financial Arrangements section should: If there are no financial implications, this section shall read: “ This MoU will not impose any financial responsibilities on its participants, except that each participant will be responsible for the funding costs it incurs in its own interest, related to the support of the MoU.” Use if the MoU is written in more than one language. Taxes, Customs Duties and Similar Chargesĭisclosure and Use of Technical Information Use if there are many abbreviations/acronyms or specialized terminology.
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