Common use of Executory Contract Clause in Contracts

Executory Contract. In the event either party to the Agreement is the subject of Insolvency Proceedings, the receiver of the insolvent, with respect to future Monthly Settlements, may affirm or reject the Agreement, but not affirm the rewards and reject the burdens. If this Agreement is neither affirmed nor rejected within one hundred and twenty (120) days after a party becomes the subject of Insolvency Proceedings, then the Agreement shall be deemed to be rejected. If either party is the subject of Insolvency Proceedings other than liquidation proceedings, then the other party may request adequate assurance of continued performance and the first priority administrative expense with respect to future performance prior to the time the Agreement is either affirmed or rejected, and if such is not provided, then, after one hundred and twenty (120) days, the other party may treat its future performance as terminated.