Common use of Commutation Clause in Contracts

Commutation. This term means the estimation, payment, and complete discharge of all future obligations for Losses, regardless of future loss development. The final Commutation shall constitute a complete and final release of all obligations of the SBA with respect to Losses. Commutation may be per Covered Event or by Contract Year as determined by the FHCF.

Commutation. This term means Commutation is the estimation, payment, and complete discharge of all future obligations for Losses, regardless of future loss development. The final Commutation commutation agreement shall constitute a complete and final release of all obligations of the SBA with respect to Losses. Commutation may be per Covered Event or by Contract Year as determined by the FHCFSBA.