Release of Credit Support Sample Clauses
The 'Release of Credit Support' clause defines the conditions under which collateral or other forms of credit support provided by one party are returned or released by the other party. Typically, this clause specifies the events or milestones—such as the fulfillment of contractual obligations, expiry of the agreement, or achievement of certain financial thresholds—that trigger the release. For example, once all outstanding payments have been settled or the risk of default has been sufficiently reduced, the credit support may be released back to the provider. The core function of this clause is to ensure that credit support is only held as long as necessary, thereby protecting the interests of both parties and preventing unnecessary encumbrance of assets.
Release of Credit Support. Transpower is to release any credit support provided by the Customer under clause 2 (including repaying to the Customer the balance of any cash bond and any interest under clause 6(d)) within 10 Business Days from the date of:
(a) the Customer having obtained an Acceptable Credit Rating and providing notice to Transpower that it has obtained an Acceptable Credit Rating;
(b) the Customer providing alternative credit support that meets the requirements of this Schedule in substitution for credit support provided by the Customer under clause 2; or
(c) this Agreement terminating and all amounts due under this Agreement on the part of the Customer being paid.
Release of Credit Support. The remaining balance of Credit Support required under Section 16.1, if any, shall be returned (if a Seller Letter of Credit) or released (if a Seller Guaranty) to Seller at the earlier of (i) replacement by a Seller Letter of Credit or Seller Guaranty in accordance with Section 16.3, (ii) if this Agreement is terminated prior to the Closing, within fifteen (15) Business Days of the termination, and (iii) the date the obligations of Seller under this Agreement have been fully satisfied; provided, however, in either case of the preceding clause (i) or clause (ii), the Credit Support required under Section 16.1 must remain in place in an amount equal to the aggregate value of the claims by Purchaser under this Agreement made in good faith and then pending, if any, but no more than the aggregate amount required under Section 16.1, which Credit Support shall be released once the pending claims are resolved and any monies due in connection therewith have been paid to Purchaser. 45 Article 17. Purchaser and Credit Support 46
Release of Credit Support. Each of the parties will use its reasonable best efforts to obtain the unconditional release of (a) ▇▇▇▇▇▇▇ and its Subsidiaries (other than the ▇▇▇▇▇▇▇ Contributed Subsidiaries) from each of the guarantees, letters of credit, financial assurances, surety bonds, performance bonds or other contractual obligations (each, a “Credit Support Instrument”) to the extent relating to the Echo Business or otherwise relating to the ▇▇▇▇▇▇▇ Contributed Assets, including effecting such release through Newco’s provision of guarantees or other credit support or the substitution in all respects of Newco for ▇▇▇▇▇▇▇ or any of its Subsidiaries (other than the ▇▇▇▇▇▇▇ Contributed Subsidiaries) that is a party to any such Credit Support Instrument so that Newco or the applicable Subsidiary of Newco shall be solely responsible for the obligations of such Credit Support Instrument, and (b) Newco and the ▇▇▇▇▇▇▇ Contributed Subsidiaries from each Credit Support Instrument to the extent relating to any businesses (other than the Echo Business) conducted or operated by ▇▇▇▇▇▇▇ or any of its Subsidiaries (other than the ▇▇▇▇▇▇▇ Contributed Subsidiaries) or otherwise relating to the ▇▇▇▇▇▇▇ Excluded Assets, including effecting such release through ▇▇▇▇▇▇▇’▇ provision of guarantees or other credit support or the substitution in all respects of ▇▇▇▇▇▇▇ for Newco or any of its Subsidiaries that is a party to any such Credit Support Instrument so that ▇▇▇▇▇▇▇ or the applicable Subsidiary of ▇▇▇▇▇▇▇ shall be solely responsible for the obligations of such Credit Support Instrument; provided that, in the case of each of clauses (a) and (b) above, any such release or substitution must be effected pursuant to documentation reasonably satisfactory in form and substance to Aspen and ▇▇▇▇▇▇▇. All costs and expenses incurred in connection with the release or substitution of the Credit Support Instruments shall be borne by Aspen (or, after the Closing, Newco) in the case of clause (a) above and ▇▇▇▇▇▇▇ in the case of clause (b) above. From and after the Closing, (i) Newco shall indemnify ▇▇▇▇▇▇▇ and its applicable Subsidiaries for any and all Damages arising from or relating to the Credit Support Instruments to the extent relating to the Echo Business or otherwise relating to the ▇▇▇▇▇▇▇ Contributed Assets and (ii) ▇▇▇▇▇▇▇ shall indemnify Newco and its Subsidiaries for any and all Damages arising from or relating to the Credit Support Instruments to the extent relating to any businesses (other th...
Release of Credit Support. (a) Prior to the Closing, Buyer and Seller shall cooperate, and each shall use its commercially reasonable efforts, (i) to effect the full and unconditional release, effective as of the Closing Date, of the Specified Credit Support Parties from their respective obligations under the applicable Specified Credit Support and Buyer or its Affiliate shall issue replacement credit support, effective as of the Closing Date, in form and substance satisfactory to each of the Specified Credit Support Beneficiaries as set forth on Schedule 6.7((a))(i) (the “Specified Credit Support Replacements”) and (ii) to cause the Specified Credit Support Beneficiaries to terminate, surrender and redeliver to Seller or Seller’s designee each original copy of the respective Specified Credit Support and any other instrument constituting or evidencing Seller’s or the Specified Credit Support Parties’ obligations to provide such Specified Credit Support as set forth on Schedule 6.7((a))(ii) (the “Specified Credit Support Releases”); provided, however, that no Party nor any of its Affiliates shall be obligated to pay, reimburse or provide, or cause any of their respective Affiliates to pay, reimburse or provide, any compensation, consideration or charge to obtain the Specified Credit Support Replacements and the Specified Credit Support Releases.
(b) Schedule 6.7(b) sets forth all outstanding letters of credit, guarantees or other forms of credit support posted by Seller or any of its Affiliates relating to the Companies, the Stations or the Business.
Release of Credit Support. Notwithstanding anything to the contrary in this Agreement, the remaining balance of Credit Support required under Section 17.1, if any, shall be returned (if a Purchaser Letter of Credit) or released (if a Purchaser Guaranty) to Purchaser at the earlier of (i) replacement by a Purchaser Letter of Credit or Purchaser Guaranty in accordance with Section 17.3, (ii) if this Agreement is terminated prior to the Closing, within fifteen (15) Business Days of the termination, and (iii) Project Substantial Completion Date; provided, however, in the case of any of the preceding clause (i), (ii) or (iii), the Credit Support required under Section 17.1 must remain in place in an amount equal to the aggregate value of (A) the claims by Seller under this Agreement made in good faith and then pending, (B) any known claims as of the date of such return or release of the Credit Support under any of the preceding clauses (i), (ii) or (iii), as applicable, and (C) any claims made in good faith related to the underlying reason(s) for termination of this Agreement, if any, but no more than the aggregate amount required under Section 17.1, which Credit Support shall be released once the pending claims are resolved and any monies due in connection therewith have been paid to Seller. 49 Article 18. Representations and Warranties With Respect to Seller 49 Section 18.1 Organization, Authority and Validity. 49
Release of Credit Support. (a) On the first Business Day of each month, the Secured Party shall calculate the Outstanding Gold Obligation Amount (any such calculation, a “Gold Obligation Calculation”) and shall provide reasonable notice to Parent of (i) any such Gold Obligation Calculation and (ii) the Outstanding Gold Obligation Amount.
(b) Upon the termination of this agreement pursuant to Section 6.07, the Secured Party shall send to the Parent the original copy of the letter of credit, or the original copy of each letter of credit, as applicable, constituting the ▇▇▇▇▇ Fargo L/C, accompanied by a document executed by the Secured Party, in the form required by ▇▇▇▇▇ Fargo for such purpose, stating that the Secured Party relinquishes all rights as a beneficiary under the ▇▇▇▇▇ Fargo L/C; and the Parent shall be entitled to terminate the ▇▇▇▇▇ Fargo L/C, the Security Interest granted by the Pledgors shall automatically, and with no further action or notice required by any party, terminate, and all of the Collateral pledged by the Pledgors (including without limitation their respective interests in the Refining Agreements) shall be automatically released from such Security Interest. In connection with such release, the Secured Party shall execute and deliver to JM a notice terminating the Refinery Pledge Agreements, a release of the ▇▇▇▇▇ Fargo L/C, in the form required by ▇▇▇▇▇ Fargo for such purpose, and such other instruments, releases or other documents as the Parent may request in connection therewith, all in accordance with the provisions of Section 4.08(c).
Release of Credit Support. Congo shall, and shall cause its Affiliates to, use their respective commercially reasonable efforts to procure on or promptly after the Closing Date (and Buyer shall cooperate with Congo in procuring) the return or unconditional release by the applicable counterparty of each obligation of the Company or any of its Subsidiaries with respect to the business of Congo or any of its Affiliates or the assets thereof (including any guarantee or credit support provided by, or any letter of credit, performance bond or surety posted by, the Company or any if its Subsidiaries or any third party on behalf thereof) (the “Company Financial Assurances”), including by providing substitute guarantees, furnishing letters of credit, instituting escrow arrangements or posting surety or performance bonds with terms that are at least as favorable to the counterparty as the terms of the applicable Company Financial Assurance.
Release of Credit Support. Each of the Buyer Credit Support and the Seller Credit Support shall be released by the Seller or the Buyer upon the relevant date specified in clause 1.1 or clause 3.1 of this Annex 7 (Credit Support).
Release of Credit Support. After expiration or termination of this Agreement for any reason, BofA shall promptly, but in no event later than nine (9) months following such expiration or termination, return to Company any funds held in the Reserve Account or surrender the letter of credit to Company upon BofA’s determination in its sole and absolute discretion that Company has performed all of its obligations under this Agreement and there is no material risk of liability of Company under this Agreement, including for any indemnity, chargebacks or Network fines or assessments or other contingent obligation.
Release of Credit Support. With respect to each guaranty, letter of credit, indemnity, performance or surety bond or similar credit support arrangement or cash deposit issued by or for the account of Sellers or any of their Affiliates in relation to the Business set forth on Section 9.11 of the Seller Disclosure Schedule (collectively, the “Support Obligations”), Purchaser shall, or shall cause the Purchaser Designees to, obtain, prior to Funding, substitute credit support arrangements in replacement for the Support Obligations, and shall procure that Sellers and their Affiliates, and, where applicable, their sureties or letter of credit issuers, be fully released from their respective obligations under the Support Obligations, in form and substance reasonably satisfactory to Sellers. For avoidance of doubt, all cash deposits released in connection therewith shall be treated as cash or Cash Equivalents of the Company.