Section 6: Contracts

6. Contracts.—(1) Every contract referred to in sub-clause (vii) of clause (d) of section 2 and entered into by Esso for any service, sale or supply in Pakistan or abroad and in force immediately before the commencing day shall, unless terminated under sub-section (2) within one year from the commencing day, continue to be of full force and effect against or in favour of the Federal Government. (2) The Federal Government may, if it is satisfied that any contract referred to in sub-section (1) is unduly onerous or is detrimental to the interests of the Federal Government, by order in writing, either terminate such contract or make such alterations or modifications therein as it may think fit: Provided that the Federal Government shall not terminate any contract or make any alteration or modification therein except after giving to the parties to the contract a reasonable opportunity of being heard and except after recording its reasons for such termination, alteration or modification, as the case may be.

Effective date: 1976-01-01

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