Termination by Mortgagee. On the occurrence of: 16.3.1 an Event of Default; and 16.3.2 if any event or circumstance shall have occurred which would, under the terms of the Charter, entitle the Owner to terminate the Charter; or 16.3.3 if the Charterer shall be in default of any of its obligations under this Deed; 16.3.4 if the Charterer is in breach of any of the terms of the Co-ordination Deed; 16.3.5 if the Charterer shall be in breach of the terms of the Notice; or 16.3.6 if the Charter Guarantor shall be in default of its obligations under this Deed, the Mortgagee shall be entitled to terminate the Charter by notice to the Owner and the Charterer, which notice shall operate to terminate the Charter forthwith if the Ship is then in port and free of cargo or otherwise upon completion of the voyage (including discharge of cargo, if any) upon which the Ship was engaged at the time when the notice to determine was given and upon any termination of the Charter pursuant to this clause 16.3: (a) all obligations whatsoever of the Owner thereunder shall be absolutely discharged and extinguished; (b) if the Charterer shall, at any time prior to such termination, have been in repudiatory breach of the terms of the Charter, such termination by the Mortgagee shall, as between the Owner and the Charterer, operate as an acceptance by the Owner of the Charterers repudiation of the Charter and the Owner's right to recover damages in respect of such repudiation (as such right has been assigned to the Mortgagee by the Charter Assignment) shall be fully preserved; and (c) the Charterer shall cease to be in possession of the Ship with the consent of the Owner (or with the consent of the Mortgagee as the Owner's assignee) and shall forthwith vacate possession of the Ship in an orderly fashion, Provided that such vacating of possession of the Ship by the Charterer shall not of itself constitute the Mortgagee a mortgagee-in-possession of the Ship.
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Sources: Second Priority Quadripartite Deed (Top Tankers Inc.)
Termination by Mortgagee. On the occurrence of:
16.3.1 an Event of Default; and
16.3.2 if any event or circumstance shall have occurred which would, under the terms of the Charter, entitle the Owner to terminate the Charter; or
16.3.3 if the Charterer shall be in default of any of its obligations under this Deed;
16.3.4 if the Charterer is in breach of any of the terms of the Co-ordination Deed;
16.3.5 if the Charterer shall be in breach of the terms of the Notice; or
16.3.6 if the Charter Guarantor shall be in default of its obligations under this Deed, the Mortgagee shall be entitled to terminate the Charter by notice to the Owner and the Charterer, which notice shall operate to terminate the Charter forthwith if the Ship is then in port and free of cargo or otherwise upon completion of the voyage (including discharge of cargo, if any) upon which the Ship was engaged at the time when the notice to determine was given and upon any termination of the Charter pursuant to this clause 16.3:
(a) all obligations whatsoever of the Owner thereunder shall be absolutely discharged and extinguished;
(b) if the Charterer shall, at any time prior to such termination, have been in repudiatory breach of the terms of the Charter, such termination by the Mortgagee shall, as between the Owner and the Charterer, operate as an acceptance by the Owner of the Charterers Charterer's repudiation of the Charter and the Owner's right to recover damages in respect of such repudiation (as such right has been assigned to the Mortgagee by the Charter Assignment) shall be fully preserved; and
(c) the Charterer shall cease to be in possession of the Ship with the consent of the Owner (or with the consent of the Mortgagee as the Owner's assignee) and shall forthwith vacate possession of the Ship in an orderly fashion, Provided that such vacating of possession of the Ship by the Charterer shall not of itself constitute the Mortgagee a mortgagee-in-possession of the Ship.
Appears in 1 contract
Sources: Second Priority Quadripartite Deed (Top Tankers Inc.)
Termination by Mortgagee. On the occurrence ofof any of the following:
16.3.1 an Event of Default; and
16.3.2 if any event or circumstance shall have occurred which would, under the terms of the Charter, entitle the Owner to terminate the Charter; or
16.3.3 if the Charterer shall be in default of any of its obligations under this Deed;; or
16.3.4 if the Charterer is in breach of any of the terms of the Co-ordination Deed;
16.3.5 if the Charterer shall be in breach of the terms of the Notice; or
16.3.6 16.3.5 if the Charter Guarantor shall be in default of its obligations under this Deed, the Mortgagee shall be entitled to terminate the Charter by notice to the Owner and the Charterer, which notice shall operate to terminate the Charter forthwith if the Ship is then in port and free of cargo or otherwise upon completion of the voyage (including discharge of cargo, if any) upon which the Ship was engaged at the time when the notice to determine was given and upon any termination of the Charter pursuant to this clause 16.3:
(a) all obligations whatsoever of the Owner thereunder shall be absolutely discharged and extinguished;
(b) if the Charterer shall, at any time prior to such termination, have been in repudiatory breach of the terms of the Charter, such termination by the Mortgagee shall, as between the Owner and the Charterer, operate as an acceptance by the Owner of the Charterers repudiation of the Charter and the Owner's right to recover damages in respect of such repudiation (as such right has been assigned to the Mortgagee by the Charter Assignment) shall be fully preserved; and
(c) the Charterer shall cease to be in possession of the Ship with the consent of the Owner (or with the consent of the Mortgagee as the Owner's Owners assignee) and shall forthwith vacate possession of the Ship in an orderly fashion, Provided that such vacating of possession of the Ship by the Charterer shall not of itself constitute the Mortgagee a mortgagee-in-possession of the Ship.
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