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ARTICLE · 05 DECEMBER 2016

Compliance assurance conditions in supply chain contracts

Holding Redlich
Holding Redlich
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Holding Redlich

Holding Redlich

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We look at how you can, and should, work supervision and control mechanisms into contracts throughout the supply chain.

AustraliaTransport
Nathan Cecil
Nathan Cecil
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Section 620 of the Heavy Vehicle National Law (HVNL) sets out some examples of steps that you can (and should) take to satisfy your general Chain of Responsibility (CoR) compliance obligation to take all reasonable steps to avoid any breach of the HVNL.

Two of those recommended steps relate to exercising supervision and control over other parties in the chain.

In this article, we look at how you can, and should, work those supervision and control mechanisms into your contracts throughout the supply chain.

Contracting for the 'all reasonable steps' defence

Readers know that all CoR participants in the supply chain must take 'all reasonable steps' to avoid any CoR breach of the HVNL. However, because supply chain functions, operations and the conduct of the heavy vehicle road transport tasks are conducted in any number of ways, there is no fixed and final definition of what will constitute all reasonable steps within the HVNL.

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