Common use of Performance Deposit Clause in Contracts

Performance Deposit. (1) In the event that a Performance Deposit is required under Section 5 of this Permit, Permittee shall deposit the Performance Deposit with Port upon execution of this Permit, which sum (and any additions thereto required hereunder) shall be calculated pursuant to Port Policy No. AP 509 – Collection of Delinquent Accounts, as such Policy may be amended from time to time. The Performance Deposit shall be by cash or irrevocable letters of credit, each in a form and from an issuer acceptable in Port’s sole discretion. Any letter of credit provided as a Performance Deposit must be in the form of the letter of credit attached hereto as Exhibit “C”, or such successor form as Port may from time to time require by written notice to Permittee, and shall be drawn on a bank located within the continental United States acceptable to the Port’s Chief Financial Officer. The Port’s preference is for a Letter of Credit that can be drawn at a site or counter of such a bank with a branch office located in Oakland or San Francisco, California. (Letters of credit issued through correspondent ▇▇▇▇▇ will not be accepted.) Unless the Port receives a written extension or replacement of the letter of credit at least ninety (90) days before the end of the term of the letter of credit, the Port without notice to Permittee, may draw on the letter of credit and retain all proceeds as a cash Performance Deposit pursuant to the terms of this Paragraph T. The Performance Deposit shall be retained by Port as security for the faithful performance of ▇▇▇▇▇▇▇▇▇’s obligations hereunder and under any other agreement between Port and Permittee. From time to time, the Port shall have the right to increase the amount of the Performance Deposit to reflect any increases in the amount of the Minimum Monthly Payment (rounded to the nearest thousand), or to such greater amount required by AP 509, by giving Permittee fifteen (15) days written notice and Permittee shall be obligated to increase the Performance Deposit to such amount by the end of such fifteen (15) day period. Port shall have the right, but not the obligation, to apply said Performance Deposit to the payment of any sum due to Port which has not been paid, including, but not limited to, reimbursement of any expenses incurred by Port in curing any default of Permittee, or to the cost of restoring the Assigned Space or its furnishings, fixtures or equipment to their original condition, reasonable use and wear excepted, or to Port’s future rent damages arising out of the termination of this Permit because of Permittee’s default. In the event that all or any portion of the Performance Deposit is so applied, Permittee shall be obligated, within five (5) days after Port’s written demand, to remit to Port the amount required to restore the Performance Deposit to the full amount required by this Paragraph T. If said Performance Deposit shall not have been applied for any of the foregoing purposes, it shall be returned to Permittee, without interest, within ninety (90) days after the end of the Term or the end of any hold-over as described in Paragraph O above, whichever is later (as such ninety (90) day period may reasonably be extended by Port by written notice to Permittee to allow Port to determine if Permittee has satisfied all of its obligations under this Permit). The Port will not pay any interest on the Performance Deposit. Permittee hereby expressly waives the protections of California Civil Code Section 1950.7. (2) In the event that Permittee has another agreement or other agreements with the Port that requires or require Permittee to maintain a deposit with the Port, Permittee, at its election may satisfy the deposit requirements with a single non-cash deposit in the form acceptable to the Port, provided that: (i) the deposit instrument describes each agreement to which it is intended to apply, (ii) the deposit amount is not less than the aggregate of deposit requirements for all of the agreements to which the instrument applies and (iii) if the deposit is insufficient to satisfy the requirements of any of the agreements to which it applies, the Permittee shall be in default of each and every agreement to which the deposit applies.

Performance Deposit. (1) In Tenant shall, not later than the event that Effective Date, deposit with the Port and during the entire Term shall maintain with the Port a Performance Deposit is required under Section 5 of this Permit, Permittee shall deposit as specified in the Performance Deposit with Port upon execution of this PermitAgreement, which sum deposit will be retained by the Port as a performance deposit (the “Performance Deposit”) and may be used or applied as the Port, in its sole discretion, may determine to: (a) pay the Cost of Response Actions on the Premises that are the responsibility of Tenant; (b) repair any additions thereto required hereunderdamage to the Premises caused by Tenant or Tenant’s Representatives; (c) shall be calculated replace any Improvements which are the property of the Port and which have been damaged, removed or otherwise misplaced during the Term; (d) pay any other outstanding amounts due the Port from Tenant pursuant to any of the provisions of the Port Policy No. AP 509 – Collection Ordinances; (e) pay any compensation or other amount payable to the Port pursuant to the Port Ordinances that is not paid when due; (f) pay or reimburse the Port for any amount that the Port may spend or become obligated to spend in exercising its rights under the Port Ordinances; or (g) compensate the Port for any expense, loss or damage that the Port may suffer because of Delinquent Accounts, as such Policy may be amended from time a default with respect to timeany obligation of Tenant under the Port Ordinances. The Performance Deposit shall be by cash or an irrevocable letters of credit, each in a form and from an issuer acceptable in Port’s sole discretion. Any letter of credit provided as a Performance Deposit must be in the form required by the Port (a “Letter of the letter of credit attached hereto as Exhibit “CCredit”), or such successor form as Port may from time to time require issued by written notice to Permittee, and shall be drawn on a bank (“Issuer”) located within the continental United States States, acceptable to the Port’s Chief Financial Officer. The Port’s preference is for a Letter of Credit that can be drawn at a site or counter of such a bank Port and with a branch office located in Oakland or San Francisco, California. (Letters , at which such Letter of credit issued through correspondent ▇▇▇▇▇ will not Credit may be accepted.) Unless the Port receives a written extension or replacement of the letter of credit at least ninety (90) days before the end of the term of the letter of credit, the Port without notice to Permittee, may draw on the letter of credit and retain all proceeds as a cash Performance Deposit pursuant to the terms of this Paragraph T. The Performance Deposit shall be retained by Port as security for the faithful performance of ▇▇▇▇▇▇▇▇▇’s obligations hereunder and under any other agreement between Port and Permittee. From time to time, the Port shall have the right to increase the amount of the Performance Deposit to reflect any increases in the amount of the Minimum Monthly Payment (rounded to the nearest thousand), or to such greater amount required by AP 509, by giving Permittee fifteen (15) days written notice and Permittee shall be obligated to increase the Performance Deposit to such amount by the end of such fifteen (15) day period. Port shall have the right, but not the obligation, to apply said Performance Deposit to the payment of any sum due to Port which has not been paid, including, but not limited to, reimbursement of any expenses incurred by Port in curing any default of Permittee, or to the cost of restoring the Assigned Space or its furnishings, fixtures or equipment to their original condition, reasonable use and wear excepted, or to Port’s future rent damages arising out of the termination of this Permit because of Permittee’s defaultdrawn. In the event that all the Port is required to utilize the Performance Deposit or any portion thereof during the Term for the purposes hereinabove set forth, Tenant shall deposit with the Port an additional sum or a replacement Letter of the Performance Deposit is so applied, Permittee shall be obligated, within five (5) days after Port’s written demand, to remit to Port the amount required Credit sufficient to restore the Performance Deposit to the full amount required by this Paragraph T. If said Performance Deposit shall not have been applied for any hereinabove set forth. Tenant waives the provisions of Section 1950.7 of the foregoing purposes, it shall be returned to Permittee, without interest, within ninety (90) days after the end of the Term or the end of any hold-over as described in Paragraph O above, whichever is later (as such ninety (90) day period may reasonably be extended by Port by written notice to Permittee to allow Port to determine if Permittee has satisfied all of its obligations under this Permit). The Port will not pay any interest on the Performance Deposit. Permittee hereby expressly waives the protections of California Civil Code Section 1950.7. (2) In the event that Permittee has another agreement or other agreements with the Port that requires or require Permittee to maintain a deposit with the Port, Permittee, at its election may satisfy the deposit requirements with a single non-cash deposit in the form acceptable to the Port, provided thatextent that such Section: (i) provides that the deposit instrument describes each agreement Performance Deposit can be applied only to which it is intended to apply, remedy certain defaults by Tenant; (ii) the deposit amount is not less than the aggregate of deposit requirements for requires that all or any unused portion of the agreements Performance Deposit must be returned to which the instrument applies and Tenant within a specified period of time; or (iii) if is otherwise inconsistent with this Section 6, it being the deposit is insufficient to satisfy the requirements of any of the agreements to which it applies, the Permittee Parties’ intention that this Section 6 shall be in default of each and every agreement to which the deposit appliescontrolling.

Performance Deposit. (1) In Permittee shall, not later than the event that Effective Date, deposit with the Port and during the entire Term shall maintain with the Port a Performance Deposit is required under Section 5 of this Permit, Permittee shall deposit as specified in the Performance Deposit with Port upon execution of this PermitAgreementPermit, which sum deposit will be retained by the Port as a performance deposit (the “Performance Deposit”) and may be used or applied as the Port, in its sole discretion, may determine to: (a) pay the Cost of Response Actions on the Premises that are the responsibility of Permittee; (b) repair any additions thereto required hereunderdamage to the Premises caused by Permittee or Permitee’s Representatives; (c) shall be calculated replace any Improvements which are the property of the Port and which have been damaged, removed or otherwise misplaced during the Term; (d) pay any other outstanding amounts due the Port from Permittee pursuant to any of the provisions of the Port Policy No. AP 509 – Collection Ordinances; (e) pay any compensation or other amount payable to the Port pursuant to the Port Ordinances that is not paid when due; (f) pay or reimburse the Port for any amount that the Port may spend or become obligated to spend in exercising its rights under the Port Ordinances; or (g) compensate the Port for any expense, loss or damage that the Port may suffer because of Delinquent Accounts, as such Policy may be amended from time a default with respect to timeany obligation of Permittee under the Port Ordinances. The Performance Deposit shall be by cash or an irrevocable letters of credit, each in a form and from an issuer acceptable in Port’s sole discretion. Any letter of credit provided as a Performance Deposit must be in the form required by the Port (a “Letter of the letter of credit attached hereto as Exhibit “CCredit”), or such successor form as Port may from time to time require issued by written notice to Permittee, and shall be drawn on a bank (“Issuer”) located within the continental United States States, acceptable to the Port’s Chief Financial Officer. The Port’s preference is for a Letter of Credit that can be drawn at a site or counter of such a bank Port and with a branch office located in Oakland or San Francisco, California. (Letters , at which such Letter of credit issued through correspondent ▇▇▇▇▇ will not Credit may be accepted.) Unless the Port receives a written extension or replacement of the letter of credit at least ninety (90) days before the end of the term of the letter of credit, the Port without notice to Permittee, may draw on the letter of credit and retain all proceeds as a cash Performance Deposit pursuant to the terms of this Paragraph T. The Performance Deposit shall be retained by Port as security for the faithful performance of ▇▇▇▇▇▇▇▇▇’s obligations hereunder and under any other agreement between Port and Permittee. From time to time, the Port shall have the right to increase the amount of the Performance Deposit to reflect any increases in the amount of the Minimum Monthly Payment (rounded to the nearest thousand), or to such greater amount required by AP 509, by giving Permittee fifteen (15) days written notice and Permittee shall be obligated to increase the Performance Deposit to such amount by the end of such fifteen (15) day period. Port shall have the right, but not the obligation, to apply said Performance Deposit to the payment of any sum due to Port which has not been paid, including, but not limited to, reimbursement of any expenses incurred by Port in curing any default of Permittee, or to the cost of restoring the Assigned Space or its furnishings, fixtures or equipment to their original condition, reasonable use and wear excepted, or to Port’s future rent damages arising out of the termination of this Permit because of Permittee’s defaultdrawn. In the event that all the Port is required to utilize the Performance Deposit or any portion of thereof during the Performance Deposit is so appliedTerm for the purposes hereinabove set forth, Permittee shall be obligated, within five (5) days after Port’s written demand, to remit to deposit with the Port the amount required an additional sum or a replacement Letter of Credit sufficient to restore the Performance Deposit to the full amount required by this Paragraph T. If said Performance Deposit shall not have been applied for any hereinabove set forth. Permittee waives the provisions of Section 1950.7 of the foregoing purposes, it shall be returned to Permittee, without interest, within ninety (90) days after the end of the Term or the end of any hold-over as described in Paragraph O above, whichever is later (as such ninety (90) day period may reasonably be extended by Port by written notice to Permittee to allow Port to determine if Permittee has satisfied all of its obligations under this Permit). The Port will not pay any interest on the Performance Deposit. Permittee hereby expressly waives the protections of California Civil Code Section 1950.7. (2) In the event that Permittee has another agreement or other agreements with the Port that requires or require Permittee to maintain a deposit with the Port, Permittee, at its election may satisfy the deposit requirements with a single non-cash deposit in the form acceptable to the Port, provided that: extent that such Section (i) provides that the deposit instrument describes each agreement Performance Deposit can be applied only to which it is intended to applyremedy certain defaults by Permittee, (ii) the deposit amount is not less than the aggregate of deposit requirements for requires that all or any unused portion of the agreements Performance Deposit must be returned to which the instrument applies and Permittee within a specified period of time or (iii) if is otherwise inconsistent with this Section 5, it being the deposit is insufficient to satisfy the requirements of any of the agreements to which it applies, the Permittee Parties’ intention that this Section 5 shall be in default of each and every agreement to which the deposit appliescontrolling.

Performance Deposit. (1) In Permittee shall, not later than the event that Effective Date, deposit with the Port and during the entire Term shall maintain with the Port a Performance Deposit is required under Section 5 of this Permit, Permittee shall deposit as specified in the Performance Deposit with Port upon execution of this PermitAgreement, which sum deposit will be retained by the Port as a performance deposit (the “Performance Deposit”) and may be used or applied as the Port, in its sole discretion, may determine to: (a) pay the Cost of Response Actions on the Premises that are the responsibility of Permittee; (b) repair any additions thereto required hereunderdamage to the Premises caused by Permittee or Permittee’s Representatives; (c) shall be calculated replace any Improvements which are the property of the Port and which have been damaged, removed or otherwise misplaced during the Term; (d) pay any other outstanding amounts due the Port from Permittee pursuant to any of the provisions of the Port Policy No. AP 509 – Collection Ordinances; (e) pay any compensation or other amount payable to the Port pursuant to the Port Ordinances that is not paid when due; (f) pay or reimburse the Port for any amount that the Port may spend or become obligated to spend in exercising its rights under the Port Ordinances; or (g) compensate the Port for any expense, loss or damage that the Port may suffer because of Delinquent Accounts, as such Policy may be amended from time a default with respect to timeany obligation of Permittee under the Port Ordinances. The Performance Deposit shall be by cash or an irrevocable letters of credit, each in a form and from an issuer acceptable in Port’s sole discretion. Any letter of credit provided as a Performance Deposit must be in the form required by the Port (a “Letter of the letter of credit attached hereto as Exhibit “CCredit”), or such successor form as Port may from time to time require issued by written notice to Permittee, and shall be drawn on a bank (“Issuer”) located within the continental United States States, acceptable to the Port’s Chief Financial Officer. The Port’s preference is for a Letter of Credit that can be drawn at a site or counter of such a bank Port and with a branch office located in Oakland or San Francisco, California. (Letters , at which such Letter of credit issued through correspondent ▇▇▇▇▇ will not Credit may be accepted.) Unless the Port receives a written extension or replacement of the letter of credit at least ninety (90) days before the end of the term of the letter of credit, the Port without notice to Permittee, may draw on the letter of credit and retain all proceeds as a cash Performance Deposit pursuant to the terms of this Paragraph T. The Performance Deposit shall be retained by Port as security for the faithful performance of ▇▇▇▇▇▇▇▇▇’s obligations hereunder and under any other agreement between Port and Permittee. From time to time, the Port shall have the right to increase the amount of the Performance Deposit to reflect any increases in the amount of the Minimum Monthly Payment (rounded to the nearest thousand), or to such greater amount required by AP 509, by giving Permittee fifteen (15) days written notice and Permittee shall be obligated to increase the Performance Deposit to such amount by the end of such fifteen (15) day period. Port shall have the right, but not the obligation, to apply said Performance Deposit to the payment of any sum due to Port which has not been paid, including, but not limited to, reimbursement of any expenses incurred by Port in curing any default of Permittee, or to the cost of restoring the Assigned Space or its furnishings, fixtures or equipment to their original condition, reasonable use and wear excepted, or to Port’s future rent damages arising out of the termination of this Permit because of Permittee’s defaultdrawn. In the event that all the Port is required to utilize the Performance Deposit or any portion of thereof during the Performance Deposit is so appliedTerm for the purposes hereinabove set forth, Permittee shall be obligated, within five (5) days after Port’s written demand, to remit to deposit with the Port the amount required an additional sum or a replacement Letter of Credit sufficient to restore the Performance Deposit to the full amount required by this Paragraph T. If said Performance Deposit shall not have been applied for any hereinabove set forth. Permittee waives the provisions of Section 1950.7 of the foregoing purposes, it shall be returned to Permittee, without interest, within ninety (90) days after the end of the Term or the end of any hold-over as described in Paragraph O above, whichever is later (as such ninety (90) day period may reasonably be extended by Port by written notice to Permittee to allow Port to determine if Permittee has satisfied all of its obligations under this Permit). The Port will not pay any interest on the Performance Deposit. Permittee hereby expressly waives the protections of California Civil Code Section 1950.7. (2) In the event that Permittee has another agreement or other agreements with the Port that requires or require Permittee to maintain a deposit with the Port, Permittee, at its election may satisfy the deposit requirements with a single non-cash deposit in the form acceptable to the Port, provided that: extent that such Section (i) provides that the deposit instrument describes each agreement Performance Deposit can be applied only to which it is intended to apply, (ii) the deposit amount is not less than the aggregate of deposit requirements for all of the agreements to which the instrument applies and (iii) if the deposit is insufficient to satisfy the requirements of any of the agreements to which it applies, the Permittee shall be in default of each and every agreement to which the deposit applies.remedy certain defaults by Permittee,