Failure by the Transporter Sample Clauses
The 'Failure by the Transporter' clause defines the consequences and procedures that apply if the party responsible for transporting goods does not fulfill their obligations. Typically, this clause outlines what constitutes a failure, such as late delivery, damage to goods, or non-compliance with agreed terms, and may specify remedies like compensation, replacement, or termination of the contract. Its core function is to allocate risk and provide a clear process for addressing breaches by the transporter, ensuring both parties understand their rights and responsibilities in the event of non-performance.
Failure by the Transporter to complete the delivery of cargo
(A) make payment to Project Co for any amounts owed by Project Co to DES Buyer by way of Cargo DoP Payment in respect of the Transporter Shortfall Quantity;
(B) if the Transporter Shortfall Quantity resulted from the Transporter’s failure to deliver all or part of a cargo loaded hereunder that was scheduled in the FOB ADP or FOB Ninety Day Schedule, use its reasonable efforts to resell such Transporter Shortfall Quantity on behalf of Project Co (whether as LNG or Gas) to Third Parties in order to achieve the maximum net price achievable for such Transporter Shortfall Quantity; and
(C) make payment to Project Co of any proceeds of sale received by Project Co or the Transporter (on behalf of Project Co) as a result of the resale of such Transporter Shortfall Quantity pursuant to Clause 16.2.2(B), where applicable; and the amounts set out in Clauses 16.2.2(A) and 16.2.2(C) shall together comprise the "Transporter Failure Amount". For the avoidance of doubt, in the event the Transporter Shortfall Quantity is less than the DES SCQ, such cargo shall be deemed a “Delivered Cargo” and Project Co shall pay the Transport Fee calculated in accordance with Clause 11.1.2 in respect of such Delivered Cargo.