DEFFORM 45D

(Edn 09/06)

Ministry of Defence

Contract No: Dated:

Supply of:

Under the powers reserved to him by the Break Clause (DEFCON 656 or SC56) the Secretary
of State for Defence hereby gives notice that on.......................................................the Contract
shall be terminated without prejudice to the rights of the parties accrued to that date but
subject to the operation of paragraphs (2) to (6) of that clause.

It is not considered practicable for the Secretary of State to exercise at the present stage his
rights under clause (2) of the Break Clause. The Secretary of State will, however, be grateful if
you would make arrangements to bring production down as soon as possible
to..........................per ....................................not later than................................................19 ...
Thereafter, you are requested to continue work in such a way as to maintain the reduced
production of finished articles at an even rate until the expiration of the notice period. Work on
earlier operations should be stopped progressively so as to secure that, at the termination
date, the number of partly finished Articles on hand will be as small as possible. In no
circumstances should any work be continued beyond the date of expiration of the notice
unless specially directed by the Department under paragraph (2) of the Break Clause.

Your arrangements with sub-contractors should, as far as is practicable, be adjusted

accordingly.

I enclose a Memorandum (DEFFORM 43) setting out the procedure to be followed to facilitate
a financial settlement of the Contract hereby terminated and the early disposal of redundant
materials, etc, together with copies of DEFFORMS 44 and 44A, further copies of which may be
obtained on application to the above address.

Please acknowledge receipt of this letter and confirm that the request in paragraph 2 will be
complied with. As soon as you have ascertained the position will you please inform this office
of the number of completed Articles that will have been delivered by the end of the contract.

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