Common use of Requisition for Use Clause in Contracts

Requisition for Use. In the event of a requisition for use by any Governmental Authority of an Engine, the Grantor shall promptly notify the Security Trustee of such requisition and all of the Grantor’s obligations under this Mortgage shall continue to the same extent as if such requisition had not occurred except to the extent that the performance or observance of any obligation by the Grantor shall have been prevented or delayed by such requisition; provided that the Grantor’s obligations under Section 3.06 (except while an assumption of liability by the U.S. Government of the scope referred to in Section 3.06(c) is in effect) shall not be reduced or delayed by such requisition. Provided no Event of Default has occurred and is continuing, any payments received by the Security Trustee or the Grantor from such Governmental Authority with respect to such requisition of use shall be paid over to, or retained by, the Grantor; if an Event of Default has occurred and is continuing, such payments from such requisition of use shall be deposited in the Administrative Agent Account for application pursuant to the Credit Agreement.