Common use of Effect of Termination or Non-Renewal Clause in Contracts

Effect of Termination or Non-Renewal. 37.1 In the event that notice of termination of the Agreement is served by either party to the Agreement or in the event that a notice of termination is given to the Coverholder under Section 37A.4, the Coverholder and the Underwriters agree that at any time during the period of such notice of termination of the Agreement: 37.1.1 the Coverholder shall have no authority to extend the period of insurance or cancel and replace under the Agreement insurances already bound without the prior written consent of the Underwriters; 37.1.2 the Underwriters shall have the right to instruct the Coverholder, by written notice sent to the Coverholder, to cease forthwith to offer terms, hold covered or bind Insurances (other than insurances that the Coverholder is legally obliged to bind) or to act in whole or in part as the Underwriters’ agent pursuant to the Agreement;