Revised Budget. In addition to the additional amounts Manager may expend pursuant to Section 6.2(d) above, Lessee and Manager acknowledge and agree that there may occur from time to time unpredicted significant changes, variables or events affecting the operation of a Hotel, including unanticipated changes in occupancy rates, market conditions, or additional unanticipated items of income or expense. In such event, Manager may request variance(s) from an Approved Budget, which are reasonable and necessary to continue to operate such Hotel in accordance with the Operational Standards. Lessee’s approval of such a request shall not be unreasonably withheld. Any such request by Manager shall be submitted to Lessee in writing with an explanation thereof and shall be accompanied by supporting information for the request. Lessee shall respond to any such request within 30 days of the receipt thereof. Notwithstanding the foregoing, in the event Lessee fails to respond within 30 days after submittal by Manager, then the request shall be deemed not approved.
Appears in 2 contracts
Sources: Management Agreement, Management Agreement (Capital Lodging)