23.2.3  Event of Default not capable of cure

(a)  Where an Event of Default is not capable of cure, government may, depending on the nature of the Event of Default:

(i)  require the private party, within a specified period, to provide a draft prevention plan which sets out how the private party will overcome the consequences of and compensate government for the Event of Default in form and substance acceptable to government; or

(ii)  exercise its rights in accordance with Chapter 24 (Termination) without any cure period.

(b)  the private party must comply with the approved prevention plan. Failure by the private party to comply with its obligations under this paragraph will allow the government to exercise its rights in accordance with Chapter 24 (Termination).

(c)  In some jurisdictions, if the prevention plan is not accepted by government, government may require the private party to comply with other requirements it considers (acting reasonably) will overcome the consequences of, or compensate government for, the relevant Event of Default. If government does not exercise the right or, having exercised it, the private party fails to comply with those requirements, this will give rise to an immediate government termination right in accordance with section 24.1.1(b) of Chapter 24 (Termination).