Article 2
1. Under the programme selection procedure: - as soon as the Member State is notified of the Commission decision approving promotional programmes, or - in the case of live plants and floricultural products, as soon as the final list of measures selected by the Member State concerned is drawn up, all applicants shall be informed whether or not their applications have been selected. 2. The competent bodies shall conclude contracts with the parties concerned within 30 calendar days of notification of the Commission decision or, in the case of live plants and floricultural products, of the drawing up of the final list of measures selected by the Member State concerned. Beyond that deadline, no contracts may be concluded without prior authorisation from the Commission. The competent bodies shall use standard contracts supplied by the Commission. Those contracts shall contain the conditions applicable, which the two contracting parties shall be deemed to know and accept. Subject to extension authorised by the Commission, the measures provided for in the contract shall be implemented within 12 months of the date on which the contract is signed by the two parties. Any extension may not exceed three months and must be the subject of a duly reasoned application from the contractor to the competent body before the expiry date. 3. Contracts may not be concluded by the two parties until a security has been lodged equal to 15 % of the maximum Community financial contribution in order to guarantee satisfactory performance of the contract. The security shall be lodged in accordance with Title III of Regulation (EEC) No 2220/85. However, if the contractor is a body governed by public law or acts under the supervision of such a body, a written guarantee from the supervisory authority covering an amount equal to the percentage specified in the first subparagraph may be accepted by the competent body, provided that the supervisory authority undertakes to verify that: - the obligations entered into are properly discharged, - the sums received are used properly to discharge the obligations entered into. Proof of lodging of the security must reach the competent body before the expiry of the time limit laid down in the first subparagraph of paragraph 2. The security shall be released within the time limits and under the conditions laid down in Article 4 of this Regulation for payment of the balance. 4. The primary requirement within the meaning of Article 20 of Regulation (EEC) No 2220/85 shall be the implementation of the measures covered by the contract. However, in the case of quality beef and veal, two other primary requirements within the meaning of that Article shall apply, namely: (a) the implementation of the measures provided for in the control record referred to in Article 4(2)(b) of Regulation (EEC) No 1318/93; (b) where appropriate, the application of the penalties provided for in the rules of procedure of the body referred to in Article 4(2)(e) of the abovementioned Regulation in the event of non-compliance with the specifications by its members, and comprising in particular the withdrawal of eligibility for the promotional measure. 5. The competent body shall send a copy of the contract and proof of lodging of the security to the Commission immediately. If the contract provides for implementation of measures in another Member State, the competent body shall notify the authorities of the latter Member State that the contract has been signed.