Common use of Required Withdrawal Clause in Contracts

Required Withdrawal. ‌ (a) In the event that a Hospital has committed an Event of Default and the cure period, if any, specified for such default has expired, the Alliance board may determine, pursuant to the conflict of interest policy (Schedule A) to: (i) require the defaulting Hospital to withdraw from the Agreement and the Alliance; or (ii) waive or excuse the Event of Default, on the terms and conditions set by the Alliance board, which may include allocating liability arising from the Event of Default solely to the defaulting Hospital; or (iii) immediately terminate the Agreement and the Alliance pursuant to Article 6. (b) In addition, a Hospital shall be required to withdraw from the Agreement and the Alliance in the event it receives a Ministry Direction. (c) In the event the Alliance board requires the defaulting Hospital to withdraw from the Agreement and the Alliance, the defaulting Hospital shall withdraw from the Alliance effective on the fiscal year end that follows the decision of the Alliance board, provided that the fiscal year end is at least six (6) months after the date of such decision. (d) The Alliance board (voting without the defaulting Hospital’s Site Committee members participating) may, in its discretion, choose to waive the notice required by paragraph (b) in whole or in part.

Required Withdrawal. ‌ (a) In the event that a Hospital has committed an Event of Default and the cure period, if any, specified for such default has expired, the Alliance board may determine, pursuant to the conflict of interest policy (Schedule A) to: (i) require the defaulting Hospital to withdraw from the Agreement and the Alliance; or (ii) waive or excuse the Event of Default, on the terms and conditions set by the Alliance board, which may include allocating liability arising from the Event of Default solely to the defaulting Hospital; or (iii) immediately terminate the Agreement and the Alliance pursuant to Article 6. (b) In addition, a Hospital shall be required to withdraw from the Agreement and the Alliance in the event it receives a Ministry Direction. (c) In the event the Alliance board requires the defaulting Hospital to withdraw from the Agreement and the Alliance, the defaulting Hospital shall withdraw from the Alliance effective on the fiscal year end that follows the decision of the Alliance board, provided that the fiscal year end is at least six (6) months after the date of such decision. (d) The Alliance board (voting without the defaulting Hospital’s Site Committee members participating) may, in its discretion, choose to waive the notice required by paragraph (b) in whole or in part.