Common use of Financial Difficulties and Payroll Failures Clause in Contracts

Financial Difficulties and Payroll Failures. Should the Employer become tardy or delinquent in the payment of wages, or operate in receivership or bankruptcy or under the supervision of a creditor’s committee, or undertake the liquidation of its business, or otherwise become involved in financial difficulties, the Employer shall, upon demand by the Union, if not prohibited by law or court order, pay the Employees on a daily basis. If the Employees not paid within seven (7) calendar days of either the end of the production or the end of the preceding work week, the Union may claim against the monetary guarantee or bond on behalf of such Employees.