Modification History
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Release |
TP Version |
Comments |
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3 |
PSP12V1 |
Unit descriptor edited. |
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2 |
PSP04V4.2. |
Layout adjusted. No changes to content. |
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1 |
PSP04V4.1 |
Primary release. |
Unit Descriptor
This unit covers the interpretation and assessment of contracts to determine their legal effect, identifying the parties involved and the responsibilities of those parties in order to make decisions regarding liability or compliance.
In practice, interpreting and assessing contracts overlaps with other generalist or specialist work activities, such as acting ethically; applying statute law; undertaking legislative decision making; dealing with legal entities, relationships and property; assessing applications for grants, subsidies or rebates; and delivering client service. Co-assessment with units of competency addressing these other activities could be considered.
No licensing, legislative, regulatory or certification requirements apply to this unit at the time of endorsement.
Application of the Unit
In the workplace, staff typically interpret and assess contracts and identify the parties involved and the capacity in which they act, in order to determine their compliance with eligibility criteria for government grants, subsidies or rebates or to determine liability for taxation and duty.
Staff must be able to access and use the principles of contract law to identify the legal nature and elements of a contract as well as its terms and obligations. They also need to apply a sound knowledge of the way contracts are developed, terminated or assigned, to identify the parties involved and their rights and obligations under the contract to make decisions regarding liability.
Licensing/Regulatory Information
Not applicable.
Pre-Requisites
Not applicable.
Employability Skills Information
This unit contains employability skills.
Elements and Performance Criteria Pre-Content
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Elements are the essential outcomes of the unit of competency. |
Performance criteria describe the required performance needed to demonstrate achievement of the element. Where bold italicised text is used, further information is detailed in the range statement. Assessment of performance is to be consistent with the evidence guide. |
Elements and Performance Criteria
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ELEMENT |
PERFORMANCE CRITERIA |
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1 . Identify key features of contracts |
1.1 Contracts are analysed and parties involved in each contract are identified. 1.2 Legal nature and elements of contracts , terms and obligations are identified in accordance with contract law. 1.3 Conditions , warranties and contingencies identified in the contract are differentiated. 1.4 Circumstances and consequences of terminating contracts are identified. 1.5 If contractual rights have been assigned, assignment is confirmed as valid in accordance with applicable legal principles. |
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2 . Assess contracts for eligibility and liability |
2.1 Contracts are analysed in accordance with criteria using a legislative decision making process. 2.2 Eligibility or liability of contracts is confirmed or denied in accordance with applicable statute law and case law. 2.3 Decisions are made and notified to customers in accordance with organisational policy and procedures. |
Required Skills and Knowledge
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This section describes the essential skills and knowledge and their level, required for this unit. |
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Required skills : Look for evidence that confirms skills in:
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Required knowledge : Look for evidence that confirms knowledge and understanding of:
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Evidence Guide
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The Evidence Guide specifies the evidence required to demonstrate achievement in the unit of competency as a whole. It must be read in conjunction with the unit descriptor, performance criteria, The range statement and the Assessment Guidelines for the Public Sector Training Package. |
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Units to be assessed together |
Co-assessed units that may be assessed with this unit to increase the efficiency and realism of the assessment process include:
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Overview of evidence requirements |
In addition to integrated demonstration of the elements and their related performance criteria, look for evidence that confirms:
The assessment environment should not disadvantage the candidate and where the person has a disability the principle of reasonable adjustment should be applied during assessment. |
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Resources required to carry out assessment |
These resources include:
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Where and how to assess evidence |
Valid assessment of this unit requires:
Assessment methods should reflect but not exceed workplace demands, such as literacy, and the needs of individuals who might be disadvantaged. Assessment methods suitable for valid and reliable assessment of this unit must use authenticated evidence from the workplace and/or training courses and may include a combination of two or more of:
The assessment environment should not disadvantage the candidate and where the person has a disability the principle of reasonable adjustment should be applied during assessment. |
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For consistency of assessment |
Evidence must be gathered over time in a range of contexts to ensure the person can achieve the unit outcome and apply the competency in different situations or environments. |
Range Statement
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The range statement provides information about the context in which the unit of competency is carried out. The variables cater for differences between States and Territories and the Commonwealth, and between organisations and workplaces. They allow for different work requirements, work practices and knowledge. The range statement also provides a focus for assessment. It relates to the unit as a whole. Text in italics in the Performance criteria is explained here. |
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Elements of a contract include: |
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Conditions are: |
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Warranties are: |
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Contingencies are: |
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Unit Sector(s)
Not applicable.
Competency field
Revenue Administration.
