(b) of its final decision to apply liquidated damages and the corresponding amount. 

## II.15.3 Nature of liquidated damages 

The parties expressly acknowledge and agree that any amount payable under this Article is not a penalty and represents a reasonable estimate of fair compensation for the damage incurred due to failure to provide the services within the applicable time limits set out in this contract. 

## II.15.4 Claims and liability 

Any claim for liquidated damages does not affect the contractor’s actual or  potential liability or the contracting authority’s rights under Article II.18. II.16 REDUCTION IN PRICE 

## II.16.1 Quality standards 

If the contractor fails to provide the service in accordance with the contract (‘unperformed obligations’) or if it fails to provide the service in accordance with the expected quality levels specified in the tender specifications (‘low quality delivery’), the contracting authority may reduce or recover payments proportionally to the seriousness of the unperformed obligations or low quality delivery. This includes in particular cases where the contracting authority cannot approve a result , report or deliverable as defined in Article I.5 after the contractor has submitted the required additional information, correction or new version. 

A reduction in price may be imposed together with liquidated damages under the conditions of Article II.15. 

## II.16.2 Procedure 

The contracting authority must formally notify  the contractor of its intention to reduce payment and the corresponding calculated amount. 

The contractor has 30 days following the date of receipt to submit observations. Failing that, the decision becomes enforceable the day after the time limit for submitting observations has elapsed. 

If the contractor submits observations, the contracting authority, taking into account the relevant observations, must notify  the contractor: 

(a) of the withdrawal of its intention to reduce payment; or 

(b) of its final decision to reduce payment and the corresponding amount. 

## II.16.3 Claims and liability 

Any reduction in price does not affect the contractor’s actua l or potential liability or the contracting authority’s rights under Article II.18. 

## II.17 SUSPENSION OF THE PERFORMANCE OF THE CONTRACT 

## II.17.1 Suspension by the contractor 

If the contractor is affected by force majeure , it may suspend the performance of the contract . The contractor must immediately notify  the contracting authority of the suspension. The notification  must include a description of the force majeure and state when the contractor expects to resume the performance of the contract . 

The contractor must notify the contracting authority as soon as it is able to resume performance of the contract , unless the contracting authority has already terminated the contract. 

