Common use of Payment by Lessor Clause in Contracts

Payment by Lessor. Any claims by Lessee for reimbursement from Maintenance Reserves shall be for completed work only. Provided there is no Default or Event of Default, any reimbursable claims pursuant to this Section 5.11 shall be paid or disputed not later than ninety (90) days after Lessor's receipt of a detailed invoice, reasonably satisfactory to Lessor in form and substance, together with supporting evidence reasonably acceptable to Lessor, such as third party bills and work package certified completed. Lessor shall pay to Lessee such amounts as are equal to the actual cost incurred by Lessee, during the Term of the Agreement and claimed by Lessee, in respect of and to the extent of reimbursable claims pursuant to this Section 5.11 provided, however, that: a. No payment shall be made in respect of replacements or repairs caused by foreign object damage, faulty maintenance or installation, or covered by manufacturer's alert service bulletins outside of the Agreed Maintenance Program, or misuse, neglect, negligence, or any cost which is reimbursable by a claim under the manufacturer's warranties or by insurance (deductibles being treated as reimbursable by insurance for this purpose) after due diligence in effecting recovery, or any other replacements or repairs paid for or reimbursable by any other Person. b. Lessee will be responsible for payment of all costs in excess of the amounts reimbursed hereunder. If, at the time of the structural check (in the case of the Airframe) or at the time of removal (in the case of an Engine, or the Landing Gear) and so long as there is no Default or Event of Default under this Agreement, the balance in the account for the Airframe "C" Check Reserves, Airframe "E" Check Reserves, Engine LLP Reserves or Engine Refurbishment Reserves for a particular Engine, or Landing Gear Reserves, as applicable, less all previous payments by Lessor to Lessee for reimbursement in such account and less any set off by Lessor for any repair or overhaul expenditure that Lessor may incur in accordance with Section 15.7 of this Agreement, is insufficient to satisfy a claim for reimbursement in respect of the applicable Airframe check, Engine, or Landing Gear, Lessee shall receive a credit against future Maintenance Reserves to the applicable account in an amount equal to the shortfall in that account. Notwithstanding the foregoing, with respect to the credit available to Lessee in the case of an Engine overhaul, if such deficiency in the appropriate Maintenance Reserves account for the overhaul is due to a scheduled overhaul event or due to normal operation of such Engine (pursuant to the Manufacturer's maintenance manual) Lessor may, at Lessor's sole discretion and in lieu of such credit to Lessee; (1) draw and retain all Maintenance Reserves related to the Engine so replaced and replace such Engine with an engine of the same model and similar or higher modification level as the Engine it replaced provided: (i) such engine has a positive EGT Margin; (ii) such engine has at least one year of life remaining to the next scheduled overhaul or the same duration of life remaining to the Expiration Date if such duration of time is less than one year, and (iii) Lessor, at Lessor's cost and expense has provided a videoborescope of such engine or (2) pay directly to the Agreed Maintenance Performer, an amount representing the deficiency in the applicable Maintenance Reserves for such overhaul.

Payment by Lessor. Any Provided that no Event of Default has occurred and is continuing, any claims by Lessee for reimbursement from Maintenance Reserves shall be for completed work only. Provided there is no Default or Event of Default, any reimbursable claims pursuant to this Section 5.11 shall be paid or disputed made not later than ninety (90) days after Lessorcompletion of the related work for which reimbursement is sought or upon Lessee's receipt of a detailed invoiceinvoices from any external maintenance provider, reasonably satisfactory to whichever is later, but in no event later than six (6) months after completion of the related work and provided that Lessee has notified Lessor in form writing that such invoices are in process. Provided no Event of Default shall have occurred and substancebe continuing, Lessor shall pay to Lessee, or directly to the repair facility if Lessee so directs Lessor in writing, within twenty-one (21) days after presentation of an invoice together with supporting evidence reasonably acceptable to Lessor, such as third party bills and work package certified completed. Lessor shall pay to Lessee , such amounts as are equal to the actual cost incurred by LesseeLessee and reimbursable to Lessee to the extent permitted hereunder, during the Term of the Agreement Lease and claimed by LesseeLessee (together with supporting evidence of the purpose and amount of the expenditure satisfactory to Lessor), in respect of a Major Maintenance Program, including without limitation a Major Maintenance Program undertaken to comply with the requirements set forth in Section 16 and to the extent of reimbursable claims pursuant to this Section 5.11 in Exhibit F hereof provided, however, that: a. No (1) no payment shall be made in respect of replacements or repairs caused by ingestion, foreign object damagedamage ("FOD"), faulty maintenance or installation, or covered by manufacturer's alert service bulletins outside of the Agreed (unless such manufacturer's service bulletin is accomplished pursuant to a Major Maintenance Program, or as defined in Section 6(g)(ii) hereof), improper operations, misuse, neglect, negligenceaccidental cause, or any cost which is reimbursable by a claim under the manufacturer's warranties or by insurance (deductibles being treated as reimbursable by insurance for this purpose) after due diligence in effecting recovery, or any other replacements or repairs paid for or reimbursable by any other Person. b. Lessee will be responsible , or for payment of all costs in excess routine maintenance; provided, however, that with respect to Engines only, if any of the foregoing events has occurred, and provided that Lessee has accomplished all repairs to the damaged Engine (and paid any insurance deductibles applicable thereto), Lessee shall be entitled to reimbursement from the Maintenance Reserves for such Engine for the cost of any maintenance accomplished during such visit to the extent reimbursable to Lessee hereunder and which restores life back to such Engine, and which maintenance would have otherwise been accomplished during the next shop visit, and which would not otherwise have been covered by insurance; (2) the total amounts reimbursed hereunder. If, payable at the any time of the structural check (by Lessor to Lessee in the case respect of the Airframe) or at the time of removal (in the case of an , Landing Gear and each Engine, or individually, shall not in any event exceed with respect to the Airframe, Landing Gear) Gear and so long as there is no Default or Event of Default under this Agreement, each Engine the balance of any funds paid by Lessee to Lessor pursuant to this Section 6(g) in respect of the account for the Airframe "C" Check ReservesAirframe, Airframe "E" Check Reserves, Engine LLP Reserves or Engine Refurbishment Reserves for a particular Engine, or Landing Gear Reserves, as applicable, less or each such Engine respectively (after taking account of all such previous payments by Lessor to Lessee for reimbursement in such account and hereunder), less any set off by Lessor for any repair or overhaul expenditure that which Lessor may incur in accordance with Section 15.7 the terms of this AgreementLease; and (3) if, on any occasion during the Term, the maximum amount available to Lessee in respect of the Airframe, Landing Gear or each Engine, respectively, is insufficient to satisfy meet a claim for reimbursement in respect of the applicable Airframe checkpayment, Engine, or Landing Gear, Lessee shall receive a credit against future Maintenance Reserves to the applicable account in an amount equal to the shortfall in that account. Notwithstanding the foregoing, with respect to the credit available to Lessee in the case of an Engine overhaul, if such deficiency in the appropriate Maintenance Reserves account is for the overhaul is due to a scheduled overhaul event account of Lessee and may not be carried forward or due to normal operation made the subject of such Engine (pursuant to the Manufacturer's maintenance manual) Lessor may, at Lessor's sole discretion and in lieu of such credit to Lessee; (1) draw and retain all Maintenance Reserves related to the Engine so replaced and replace such Engine with an engine of the same model and similar or higher modification level as the Engine it replaced provided: (i) such engine has a positive EGT Margin; (ii) such engine has at least one year of life remaining to the next scheduled overhaul or the same duration of life remaining to the Expiration Date if such duration of time is less than one year, and (iii) Lessor, at Lessor's cost and expense has provided a videoborescope of such engine or (2) pay directly to the Agreed Maintenance Performer, an amount representing the deficiency in the applicable Maintenance Reserves any further claim for such overhaulpayment.