6. Executing the contract

Table of Contents

Some basics
Australian Government requirements
Payment for services received
Accountability and transparency requirements
Tips and Traps

Some basics

The following dot points set out the basic principles and steps to follow when executing the contract:

  • Involve legal and probity advisers at an early stage, where appropriate — ideally as far back as the preparation of tender documents (including the draft contract).
  • Exercise caution in discussions to avoid creating implied or preliminary contracts.
  • Consider the use of trained negotiators in complex or high value cases.
  • Ensure that the agency’s accountability to Parliament for financial management and administration is not compromised, particularly through inappropriate use of confidentiality clauses.
  • Clear up all outstanding issues before signing.
  • Use standard or model clauses as far as possible and check that all Australian Government requirements have been included.
  • Where an agency’s cash flow is a consideration, the contract should provide that the consultant will issue a GST tax invoice, whenever requested.
  • Before signature, check the final draft contract with a legal adviser.
  • Always sign the contract before the commencement of the consultancy.
  • Ensure that mandatory Australian Government reporting requirements are fulfilled within six weeks of entering into the agreement.