Common use of Limitation of Defaults and Termination Clause in Contracts

Limitation of Defaults and Termination. Notwithstanding the terms of Sections 5 and 6 of this Agreement, if at any time and so long as Party A shall have satisfied in full all of its payment obligations under Section 2(a)(i) of this Agreement and shall at the time have no future payment obligations, whether absolute or contingent, under such Section, then unless Party B is required pursuant to appropriate proceedings to return to Party A or otherwise returns to Party A upon demand of Party A any portion of any such payment, the occurrence of an event described in Section 5(a) of this Agreement with respect to Party A shall not constitute an Event of Default or a Potential Event of Default with respect to Party A as the Defaulting Party and (ii) Party B shall be entitled to designate an Early Termination Date pursuant to Section 6 of this Agreement only as a result of the occurrence of a Termination Event set forth in Section 5(b)(i) of this Agreement with respect to Party B as the Affected Party.

Limitation of Defaults and Termination. Notwithstanding the terms of Sections 5 and 6 of this Agreement, if at any time and so long as Party A shall have satisfied in full all of its payment obligations under Section 2(a)(i) of this Agreement and shall at the time have no future payment obligations, whether absolute or contingent, under such Section, then unless Party B is required pursuant to appropriate proceedings to return to Party A or otherwise returns to Party A upon demand of Party A of any portion of any such payment, (i) the occurrence of an event described in Section 5(a) of this Agreement with respect to Party A shall not constitute an Event of Default or a Potential Event of Default with respect to Party A as the Defaulting Party and (ii) Party B shall be entitled to designate an Early Termination Date pursuant to Section 6 of this Agreement only as a result of the occurrence of a Termination Event set forth in Section 5(b)(i) of this Agreement with respect to Party B as the Affected Party.