Calculation of Termination Payment. The Non-Defaulting Party shall calculate the “Settlement Amount” owed the Non-Defaulting Party as of the Early Termination Date, where the Settlement Amount shall be the dollar amount equal to twenty percent (20%) of the total aggregate amount of Monthly Capacity Payments based on Seller’s most recent Commitment Level provided pursuant Section 3.2 for the remaining Delivery Term. The Parties agree that the damages sustained by a Party due to an Event of Default would be difficult or impossible to determine, or that obtaining an adequate remedy would be unreasonably time consuming or expensive and therefore agree that the payment of a Settlement Amount by a Defaulting Party to a Non-Defaulting Party shall be liquidated damages and not a penalty. The Non-Defaulting Party shall not have to enter into replacement transactions to establish a Settlement Amount.
Appears in 3 contracts
Sources: Demand Response Purchase Agreement, Demand Response Purchase Agreement, Demand Response Purchase Agreement