Common use of Default by the Customer Clause in Contracts

Default by the Customer. a) If the Customer defaults in the due and punctual payment of its account with AC3, the Guarantor must pay that money on demand to, or as directed by, AC3. b) If the Customer defaults in the due and punctual performance of any Guaranteed Obligation, the Guarantor must: i. indemnify AC3 against all losses, liabilities and expenses (including legal expenses on a full indemnity basis) that AC3 incurs (directly or indirectly) as a result of that default; and ii. pay the amount of those losses, liabilities and expenses on demand to, or as directed by, AC3.