Section 672.520   Breach of Contract

a)         Upon determination by the Department that a substantial breach of a WIC Vendor Contract has been committed by a Vendor, the Department will repudiate that Contract and terminate the Vendor Authorization.

b)         Any repudiation of the Vendor Contract by the Department and resultant termination of the WIC Retail Vendor Contract will take effect only after the Vendor receives 15-day advance written notification of the adverse action and the causes for, and effective date of, that action.

c)         The sale, lease, or cessation of a business authorized by the WIC Vendor Contract will void the Vendor Contract.  Any change in location of the business authorized by the WIC Vendor Contract may be subject to review and approval by the Department in accordance with the Vendor Contract.

d)         Should the vendor qualify as a 50% Vendor during the period of the contract, the Vendor Contract will become void.  If the Department determines that a vendor qualifies as a 50% Vendor during the contract, it will give the vendor 15 days' notice of the determination and declare the contract void.  The vendor may reapply for WIC approval 90 days after the notice by showing that the business model has changed and that it will not be a 50% Vendor.  Upon approval by the Department, the contract may be reinstated.  The Vendor may appeal a determination made during the contract that it is a 50% Vendor pursuant to Section 672.600, but the appeal will not delay voiding of the contract.

(Source:  Amended at 46 Ill. Reg. 2073, effective January 21, 2022)