Common use of The Ships Clause in Contracts

The Ships. procure that throughout the Facility Period each Mortgaged Ship (and in relation to (a), her Earnings and Insurances, as defined in, and in accordance with the requirements of, the Ship Security Documents) will, except as the Agent, acting on the instructions of the Banks, may otherwise permit, be: (a) in the absolute sole, legal and beneficial ownership, free of Encumbrances, of the relevant Owner; (b) registered through the offices of the relevant Registry as a ship under the laws and flag of the relevant Flag State; (c) in compliance with the ISM Code and the ISPS Code and operationally seaworthy and in every way fit for service; (d) classed with the relevant Classification free of all requirements and recommendations of the relevant Classification Society; (e) managed in accordance with the terms of the relevant Management Agreements; and (f) insured in accordance with the relevant Ship Security Documents;