Common use of Distribution on Termination Clause in Contracts

Distribution on Termination. In the event of the rescission or termination of this Agreement and the dissolution of the Authority, all of the assets of the Authority shall immediately vest in the entities that are Parties at the time of rescission or termination, subject to any outstanding liens, mortgages, distributions to prior withdrawing Participants or Parties, or other pledges of such assets. The interest in the general assets of the Authority conveyed to each Party shall be that proportion which the total amount paid by such Party to the Authority for such assets bears to the total dollar amount of all payments made to the Authority by all Parties. The Parties may, however, otherwise provide, by unanimous agreement, for disposition of any and all interests of the Authority to any successors to the Authority, or for any alternative disposition among the Parties or to third parties upon payment of adequate consideration therefore.