No under clause 45 you just need to notify them in writing the fact that you will get others to correct as they have failed to do so within the defect correction period. The Project Manager should give them a very clear written instruction not to do any more work on that defect which they are obliged to follow. They would then be silly to continue as under option A they would have no means of recovery of cost for any work they are doing that is not already on the activity schedule (other than compensation events which obviously this is not).
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