How Can We Terminate a Canteen Contract Due to Unsafe Food Quality?

Issues with Canteen Contractor

Frequently, rotten, raw, undercooked, overcooked, and wormy food has been supplied by the canteen contractor. The penalty imposed by the management is as per the contract conditions and is very minimal. Please suggest a way to terminate the contract or impose a significantly higher penalty. The contractor has not improved the food quality despite being fined by the management, as the penalty imposed was very low. The canteen contractor is being encouraged to serve such food again by receiving minimal penalties, indirectly jeopardizing the health of employees.

The canteen contractor is Shashi Catering Services.

Hello Naresh, I hope you are overseeing the canteen committee and that they are testing and tasting the food before serving it to everyone. I recommend visiting their kitchen and conducting an audit to ensure it is a clean and safe place for cooking.

Penalizing may not be an effective solution in your situation. Therefore, consider introducing another canteen or obtaining additional quotations from competitors to potentially make the current provider realize the potential loss of business.

Review the agreement clauses concerning termination and notice to modify the contract. Additionally, assess whether your payment system is contributing to the provider's negligent behavior.

Best regards

Since the contractor is not improving despite the many opportunities given, you have to act now. There is a condition to impose food items of the required quality and quantity, which the contractor is continuously breaching.

Start by addressing all the breaches committed in the past and the lack of improvement. Issue a notice of termination of the contract. Before that, make full preparations for an alternate arrangement. Utilize the services of a lawyer to prepare the termination of the contract order in case you encounter difficulties in this regard.