Common use of Each Material Contract Clause in Contracts

Each Material Contract. (i) is valid and binding on the respective parties thereto and is in full force and effect and (ii) upon consummation of the transactions contemplated by this Agreement or the New Stockholders Agreement, shall continue in full force and effect without penalty or other adverse consequence resulting from the transactions contemplated hereby and thereby. Neither SOFEDIT nor any SOFEDIT Subsidiary is in breach of, or default under, any Material Contract.