Offset and Recoupment Rights. Any debts or credits incurred at or after the Effective Time in favor of or against either the Company or Reinsurer with respect to this Agreement are deemed mutual debts or credits, as the case may be, and shall be set off or recouped from any amounts due to the Company or the Reinsurer hereunder, as the case may be, and only the net balance shall be allowed or paid. Notwithstanding anything to the contrary contained in this Agreement, this Section 3.08 shall not be modified, nullified, or re-construed due to the insolvency, liquidation, rehabilitation, conservatorship or receivership of either party.
Appears in 2 contracts
Sources: Indemnity Reinsurance Agreement, Indemnity Reinsurance Agreement (American Family Variable Account I)