I've been on a Tier 2 General for 2 years. My sponsor is an agency, of which I am an PAYE employee. They provide me with a Tier 2 visa in exchange for taking a cut on my daily rate.
I've been working as a consultant (aka contractor) on my Tier 2 for a client for over 2.5 years, and to my surprise, they did not renew my contract. I was told by the agency when I first joined them 2.5 years ago that should my contract come to an end, that I will have maximum 2 months to secure a new contract or else, and I quote "your sponsorship will be revoked.".
I obviously understand the reality of that, but can someone please explain to me what exactly does this mean?


For example:
1. At what point does the 60 days start? And will I be notified by the agency or who decides when this start?
2. I came across the concept of "curtailment" today, but I don't quite understand it? It seems to be the letter telling you that you have 60 days to leave the country, and its valid from the date of issue. So I assume they only issue the letter when the agency contacts them? And if this is the case, what exactly do they tell home office? Hopefully not "breach of condition", see below

3. What reason for termination is the agency likely to use to "revoke" my sponsorship? God forbid its something crazy like this:xxxxxxxxxxx condition-stay-not-condition-stay/ where "breached condition to stay" was used to which resulted in all hell for this guy. This could easily apply here as I would imagine that one of my "conditions to stay" is to continue providing them with a monthly share of my earnings, and should I fail to do this the "conditions to stay" will be breached? I'M NOT trying to dramatise, just thinking worse case scenario which one should when it involves visas

This is my current understand of what I'm trying to clarify with the questions above:
1. Client Contract ends
2. Client notifies contractor & agency
3. Contractor tries and find a new contract
4. TWo months later contractor was not successful in finding new contractor
5. Agency terminates employment with immediate effect
6. Agency notifies home office of the termination and revoke the COS
7. Home office issue Curtailment Letter stating leave by date?
8. Life over.

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