Common use of Effect of Failure Clause in Contracts

Effect of Failure. In the event that an Affiliate (the "Failing ----------------- Affiliate") fails to perform its obligations under the terms of a Multi- Territory Contract and does not cure such failure within 30 days after notice of such failure by the Committee (or, if such cure cannot be accomplished within 30 days, if the Failing Affiliate does not promptly commence such cure and diligently pursue it toward completion during such 30-day period and then accomplish such cure as soon as reasonably possible thereafter), an Affiliate operating from a MUZAK(R) territory that is adjacent to the Failing Affiliate's MUZAK(R) territory, as selected by the Committee, shall thereafter be authorized to perform the obligations and exercise the rights (including rights to receive payments) of the Failing Affiliate under such Contract until the termination thereof. Notwithstanding the foregoing, if at any time a Failing Affiliate fails to provide the Services to a Subscriber Premises in accordance with a Multi- Territory Contract and does not cure such failure within 72 hours after receipt of actual or written notice from the Committee, an Affiliate operating from a MUZAK(R) territory that is adjacent to the Failing Affiliate's MUZAK(R) territory, as selected by the Committee, shall have the right immediately to provide the Services to such Subscriber Premises, and the Failing Affiliate shall reimburse such Affiliate for the costs associated therewith.

Effect of Failure. In the event that an Affiliate (the "Failing ----------------- Affiliate") fails to perform its obligations under the terms of a Multi- Territory Contract and does not cure such failure within 30 days after notice of such failure by the Committee (or, if such cure cannot be accomplished within 30 days, . if the Failing Affiliate does not promptly commence such cure and diligently pursue it toward completion during such 30-day period and then accomplish such cure as soon as reasonably possible thereafter), an Affiliate operating from a MUZAK(R) territory that is adjacent to the Failing Affiliate's MUZAK(R) territory, as selected by the Committee, shall thereafter be authorized to perform the obligations and exercise the rights (including rights to receive payments) of the Failing Affiliate under such Contract until the termination thereof. Notwithstanding the foregoing, if at any time a Failing Affiliate fails to provide the Services to a Subscriber Premises in accordance with a Multi- Territory Contract and does not cure such failure within 72 hours after receipt of actual or written notice from the Committee, an Affiliate operating from a MUZAK(R) territory that is adjacent to the Failing Affiliate's MUZAK(R) territory, as selected by the Committee, shall have the right immediately to provide the Services to such Subscriber Premises, and the Failing Affiliate shall reimburse such Affiliate for the costs associated therewith.