National Land Transport Act, 2009 (Act No. 5 of 2009)Chapter 5 : Contracting for Public Transport Services46. Existing contracting arrangements |
(1) | Where there is an existing interim contract, current tendered contract or negotiated contract as defined in the Transition Act in the area of the relevant contracting authority, that authority may— |
(a) | allow the contract to run its course; or |
(b) | negotiate with the operator to amend the contract to provide for inclusion of the operator in an integrated public transport network; or |
(c) | make a reasonable offer to the operator of alternative services, or of a monetary settlement, which offer must bear relation to the value of the unexpired portion of the contract, if any. |
(2) | If the parties cannot agree on amendment of the contract or on inclusion of the operator in such a network, or the operator fails or refuses to accept such an offer, the matter must be referred to mediation or arbitration in the prescribed manner to resolve the issue. |
(3) | The Minister may make regulations providing for the transition of existing contracting arrangements and the transfer of the contracting function in terms of this section or section 41, including the transfer or amendment of existing permits or operating licences to give effect to its provisions in the case of an assignment under section 11(2). |
(4) | In applying this section, the contracting authority must give due regard to the rights of the workers employed by the operators in terms of the contract contemplated in subsection (1). |