Common use of Duty to Post Default Security Clause in Contracts

Duty to Post Default Security. Beginning on the Commercial Operation Date, at any time during the Term when Seller does not satisfy the Credit Requirement, Seller shall post and maintain in favor of PacifiCorp (a) a guaranty from an entity that satisfies the Credit Requirement, in a form acceptable to PacifiCorp in its reasonable discretion, or (b) a Letter of Credit (the “Default Security”), as provided in this Section 7.2. In the event Seller posts Default Security and thereafter satisfies the Credit Requirement, as demonstrated to the reasonable satisfaction of PacifiCorp, then Seller shall be entitled to a release by PacifiCorp of the Default Security for so long as Seller continues to satisfy the Credit Requirement.

Duty to Post Default Security. Beginning on the Commercial Operation Date, at any time during the Term when Seller does not satisfy the Credit RequirementRequirements, Seller shall post and maintain in favor of PacifiCorp (a) a guaranty from an entity that satisfies the Credit RequirementRequirements, in a substantially the form acceptable to PacifiCorp in its reasonable discretionattached hereto as Exhibit 8.1, or (b) a Letter of Credit (the “"Default Security”"), as provided in this Section 7.28.2. In the event Seller posts Default Security and thereafter satisfies the Credit RequirementRequirements, as demonstrated to the reasonable satisfaction of PacifiCorp, then Seller shall be entitled to a release by PacifiCorp of the Default Security for so long as Seller continues to satisfy the Credit RequirementRequirements.