Common use of Room Block Attrition Clause in Contracts

Room Block Attrition. 6.1 If Group’s actual usage slips below the higher of (1) the Increased Room Block (if any) or (2) 80% of the original Room Block, Group agrees to pay, 75% of the average Group Rate, for each room night by which such Room Block exceeds Group’s actual usage. Such charges shall be added with tax (if applicable) to, and payable as part of, the Master Account. 6.2 The parties agree that (a) the above formula for the attrition charge is a reasonable estimate of the Hotel’s damages in the event that the room nights in the Room Block are not utilized and (b) the liquidated damages set forth in Section 6.1 do not constitute a penalty. 6.3 The Hotel shall undertake all efforts to resell any unused room nights in the Room Block and shall credit those sales against any attrition charges in accordance with the following formula: In regard to attrition, no room shall be deemed to have been resold on any night unless and until the Hotel first sells all rooms outside of the Room Block that night, plus all rooms within the Room Block which the Group does not use and for which the Group owes no amount in accordance with the attrition provision. As to any rooms which are resold, the Hotel will multiply the number of rooms resold each night by the lower of the Group Rate or the average daily rate achieved by the Hotel that night. The resulting amount will be reduced by 25%. The resulting amount will be the amount of credit for rooms resold to which the Group is entitled on the night in question. 6.4 An audited statement of actual room usage, the number of rooms available in the Hotel for sale and the number of rooms resold by the Hotel for each day of the Meeting shall be provided to the Group upon the billing of any attrition charge.

Room Block Attrition. 6.1 If This Agreement is based in part on the Group’s use of XXXX total room nights. In the event the actual usage slips use of room nights falls below the higher of (1) the Increased Room Block (if any) or (2) 80% (XXX room nights) of the original Room Block, an attrition charge will be assessed. This amount shall be calculated by multiplying (.75) times the single/double Group agrees to payrate, 75% exclusive of the average Group Ratetaxes, for each room night by which such Room Block exceeds Group’s actual usagebelow eighty percent (80%) of the total room nights blocked. (.75 x $ single/double rate = $ per room night attrition costs). Such charges shall be added with tax (if applicable) ), to, and payable as part of, the Master Account. 6.2 The parties agree that (a) the above formula for the attrition Attrition charge is a reasonable estimate of the Hotel’s damages in the event that the room nights in the Room Block are not utilized and (b) the liquidated damages set forth in Section 6.1 do not constitute a penalty. 6.3 The Hotel shall undertake all efforts to resell any unused room nights in the Room Block and shall credit those sales against any attrition charges in accordance with the following formula: In regard to attrition, no room shall be deemed to have been resold on any night unless and until the Hotel first sells all rooms outside of the Room Block contracted room block that night, plus all rooms within the Room Block originally contracted room block which the Group group does not use and for which the Group group owes no amount in accordance with the attrition provision. As to any rooms which are resold, the Hotel will multiply the number of rooms resold each night by the lower of the Group Rate group’s contracted room rate or the average daily rate achieved by the Hotel that night. The resulting amount will be reduced multiplied by 25%. The seventy-five percent, and the resulting amount will be the amount of credit for rooms resold to which the Group group is entitled on the night in question. 6.4 An audited statement of actual room usage, the number of rooms available in the Hotel for sale and the number of rooms resold by the Hotel for each day of the Meeting shall be provided to the Group upon the billing of any attrition charge.