---
kind: "section"
citation: "42 C.F.R. § 421.126"
title: "42"
number: "421.126"
heading: "Termination of agreements."
url: "https://uscodex.org/cfr/42/421.126"
---

# §421.126. Termination of agreements.

- (a) **Termination by intermediary.** An intermediary may terminate its agreement at any time by—
  - (1) Giving written notice of its intention to CMS and to the providers it services at least 180 days before its intended termination date; and
  - (2) Giving public notice of its intention by publishing a statement of the effective date of termination at least 60 days before that date. Publication must be in a newspaper of general circulation in each community served by the intermediary.
- (b) **Termination by the Secretary, and right of appeal.**
  - (1) The Secretary may terminate an agreement if—
    - (i) The intermediary fails to comply with the requirements of this subpart;
    - (ii) The intermediary fails to meet the criteria or standards specified in §§ [421.120](/cfr/42/421.120.md) and [421.122](/cfr/42/421.122.md); or
    - (iii) CMS has reassigned, under [§ 421.114](/cfr/42/421.114.md) or [§ 421.116](/cfr/42/421.116.md), all of the providers assigned to the intermediary.
  - (2) If the Secretary decides to terminate an agreement, he or she will offer the intermediary an opportunity for a hearing, in accordance with [§ 421.128](/cfr/42/421.128.md).
  - (3) If the intermediary does not request a hearing, or if the hearing decision affirms the Secretary's decision, the Secretary will provide reasonable notice of the effective date of termination to—
    - (i) The intermediary;
    - (ii) The providers served by the intermediary; and
    - (iii) **The general public.**
  - (4) The providers served by the intermediary will be given the opportunity to nominate another intermediary, in accordance with [§ 421.104](/cfr/42/421.104.md).

## Notes

### Authority

Authority: 42 U.S.C. 1302 and 1395hh.

### Source

Source: 45 FR 42179, June 23, 1980, unless otherwise noted.