Common use of LIABILITY AND SANCTIONS Clause in Contracts

LIABILITY AND SANCTIONS. If a Party uses the earmarked funds contrary to their purpose and/or for a purpose other than for which they were provided by the Recipient under this Agreement, or otherwise uses or withholds them unlawfully, the Parties agree that, for the purposes of this Agreement, such action shall be considered a breach of budgetary disciplině within the meaning of Section 44 et seq. of Act No. 218/2000 Coll., on budgetary rules and on amendments to certain related acts, as amended, and shall háve consequences analogous to those set out in this Act. Should any Party breach the rules (conditions) of cooperation defined in this Agreement, the Party in breach shall be obliged to compensate the other Parties for the demonstrable damage. In the event of non-performance of the obligations under this Agreement, the other Party shall be entitled, by written notice to the NAHYC-m Council, to require the Party to cure the default and remedy the breach of the Agreement. In čase of delay of the NAHYC-m Member in returning the funds to the Recipient according to this Agreement, according to the law or other binding document including the Support Programme documentation or according to the Grantor's decision, default interest at a rate claimed by the Grantor shall be charged for each commenced day of delay in returning the funds .