Common use of Payments in advance Clause in Contracts

Payments in advance. (a) Bulk Oil Cargo Fees and Capital Asset/Loan Fees shall be payable by Operator in respect of each Member Oil Handling Facility in advance in four (4) equal quarterly instalments (each an “Advance Quarterly Payments”) in those cases where the aggregate volumes of Bulk Oil Cargo Handled at Operator’s Member Oil Handling Facilities in the preceding calendar year exceed the Threshold, except where there has been a significant change affecting Operator’s business which in WCMRC’s view is likely to reduce to below Threshold levels the volumes of Bulk Oil Cargo Handled at Operator’s Member Oil Handling Facilities in the subsequent year. (b) Notwithstanding the provisions of Section 4.1(a), where volumes are not available for the preceding calendar year but the aggregate volumes of Bulk Oil Cargo forecast to be Handled at Operator’s Member Oil Handling Facilities for the forthcoming year exceed the Threshold, Operator shall be required to make Advance Quarterly Payments and comply with the provisions of Section 4.1(a) in all respects as though such volumes were available. (c) The following provisions of this Article shall apply to Operator for each year in which the aggregate volumes of Bulk Oil Cargo Handled at Operator’s Member Oil Handling Facilities in a preceding calendar year exceed the Threshold.

Payments in advance. (a) Bulk Oil Cargo Fees and Capital Asset/Loan Fees shall be payable by Operator in respect of each Member Oil Handling Facility in advance in four (4) equal quarterly instalments (each an “Advance Quarterly Payments”) in those cases where the aggregate volumes of Bulk Oil Cargo Handled at Operator’s Member Oil Handling Facilities in the preceding calendar year exceed the Threshold, except where there has been a significant change affecting Operator’s business which in WCMRC’s view is likely to reduce to below Threshold levels the volumes of Bulk Oil Cargo Handled at Operator’s Member Oil Handling Facilities in the subsequent year. (b) Notwithstanding the provisions of Section Article 4.1(a), where volumes are not available for the preceding calendar year but the aggregate volumes of Bulk Oil Cargo forecast to be Handled at Operator’s Member Oil Handling Facilities for the forthcoming year exceed the Threshold, Operator shall be required to make Advance Quarterly Payments and comply with the provisions of Section Article 4.1(a) in all respects as though such volumes were available. (c) The following provisions of this Article shall apply to Operator for each year in which the aggregate volumes of Bulk Oil Cargo Handled at Operator’s Member Oil Handling Facilities in a preceding calendar year exceed the Threshold.