Section 29 in The M.P. Forest (Contract) Rules, 1927
29. Termination of a contract for breach of conditions.
(1)A forest contract may be terminated by the officer empowered to execute it on behalf of the Government if the forest contractor makes default in the payment of the consideration for his contract or of any instalment thereof, or commits a breach of any of the other conditions of his contract.(2)Such termination shall be notified to the forest contractor by a written notice delivered to him personally or sent to him by registered post, and thereupon all the contractors rights under the contract including all accessory licences, shall cease and all the forest produce remaining within with the contract area or at depots specified under Rule 13 shall become the absolute property of Government.(3)On such termination Government shall be entitled,-(a)to keep all sums already paid by the contractor as consideration or part consideration of the forest contract;(b)to recover as arrears of land revenue any part of the consideration which has fallen due but is still unpaid on the date of the termination of the contract;(c)to recover as arrears of land revenue any penalty which may be recoverable under Rule 28;(d)to recover any damage which may be assessed under Rule 15, and(e)to recover as arrears of land revenue any part of the consideration which would have subsequently fallen due but for such termination or to resell the contract and to recover in like manner the account by which the price secured as such resale falls short of that part of the consideration which would have so fallen due.
