Common use of Underutilization and Early Termination Charges Clause in Contracts

Underutilization and Early Termination Charges. If Customer’s Total Service Charges do not reach the AVC in any contract year during the Term, Customer shall pay an “Underutilization Charge” equal to 100% of the unmet AVC. If: (a) Customer terminates the Agreement before the end of the Term for reasons other than Cause; or Company terminates the Agreement for Cause, then Customer will pay, within thirty (30) days after such termination: (i) an amount equal to 100% of the unsatisfied AVC remaining during the year of termination, and for each subsequent contract year remaining in the Term, plus (ii) a pro rata portion of any and all credits received by Customer. Promotion: The Customer is eligible for the following promotion as set forth in the Guide: General Installation Waiver Promotion – v5.0 OPTION NO 328877 Initial Term: 36 months Month-to-Month Term: Upon expiration of the Initial Term or the Ramp Down Period, as applicable, the Agreement is automatically extended (“Month-to-Month Term”) on a month-to-month basis until either party terminates it upon 60 days' prior written notice Annual Volume Commitment (“AVC”): Customer agrees to pay Company no less than the following amounts (the “AVC”) in Total Service Charges in each twelve-month period during the Initial Term (“Contract Year”): Contract Year 1: $2,600,000 Contract Year 2: $3,250,000 Contract Year 3: $3,250,000

Appears in 1 contract

Sources: Service Agreement

Underutilization and Early Termination Charges. If Customer’s Total Service Charges do not reach the AVC in any contract year Contract Year during the Initial Term, then Customer shall will pay an “Underutilization Charge” in equal to 10025% of the unmet AVC. If: (a) Customer terminates the Agreement before the end of the Term for reasons other than Cause; or (b) Company terminates the this Agreement for Cause, then Customer will pay, as Company’s sole and exclusive remedy for early termination by Customer, within thirty (30) 30 days after such termination: (i) an amount equal to 100the 25% of the unsatisfied AVC remaining during the year of termination, and for each subsequent contract year Contract Year remaining in the Term, plus (ii) a pro rata portion of any and all credits received by Customer. PromotionPromotions: The Customer is eligible for the following promotion promotions as set forth in the Guide: General Installation Waiver Regional Checkbook – Monthly Option – 2 Years Contract Renewal Promotion – v5.0 OPTION NO 328877 Initial Term: 36 24 months Month-to-Month Term: Upon expiration of the Initial Term or the Ramp Down Period, as applicableTerm, the Agreement is will be automatically extended (“Month-to-Month Term”) on a month-to-month basis until unless either party terminates it the Agreement upon 60 days' prior at least sixty (60) days written notice prior to the end of the Initial Term (“Extended Term”). Annual Volume Commitment (“AVC”): Customer agrees to pay Company no less than the following amounts $00.00 in Total Service Charges (the “AVC”) in Total Service Charges in during each twelve-month period during contract year of the Initial Term (“Contract Year”): Contract Year 1: $2,600,000 Contract Year 2: $3,250,000 Contract Year 3: $3,250,000Term.

Appears in 1 contract

Sources: Amendment 1

Underutilization and Early Termination Charges. If Customer’s 's Total Service Charges do not reach the AVC in any contract year during the Initial Term, ; Customer shall pay an “Underutilization Charge” equal to 10075% of the unmet AVC. If: (a) Customer terminates the Agreement before the end of the Term for reasons other than CauseCause (as defined in the Agreement); or (b) Company terminates the Agreement for Cause, Cause then Customer will pay, within thirty (30) days after such termination: (i) an amount equal to 10075% of the unsatisfied AVC remaining during the year of termination, Term and for each subsequent contract year Contract Year remaining in the Term, plus (ii) a pro rata portion of any and all credits received by Customer. PromotionPayment Arrangements: The Customer is eligible for agrees to pay all the following promotion as set forth in Company charges (except disputed amounts) within thirty (30) days of Customer’s receipt of the Guide: General Installation Waiver Promotion – v5.0 OPTION NO 328877 invoice. Initial Term: 36 months Month-to-Month Term: Upon expiration of the Initial Term or the Ramp Down Period, as applicableTerm, the Agreement is will be automatically extended (“Month-to-Month Extended Term”) on a month-to-month to month basis until either party terminates it upon 60 days' days prior written notice notice. The “Term” and “Extended Term” are referred herein collectively as the “Term”. Minimum Annual Volume Commitment (“AVC”): Customer agrees to pay Company no less than the following amounts $60,000.00 in Total Service Charges (the “AVC”) in Total Service Charges in each twelve-twelve month period during the Initial Term (“Contract Year”): Contract Year 1: $2,600,000 Contract Year 2: $3,250,000 Contract Year 3: $3,250,000Term.

Appears in 1 contract

Sources: Amendment 1

Underutilization and Early Termination Charges. If Customer’s Total Service Charges do not reach the AVC in any contract year Contract Year during the Initial Term, ; Customer shall will pay an “Underutilization Charge” equal to 10075% of the unmet AVC. If: (a) Customer terminates the Agreement before the end of the Term or reasons other than Cause; or (b) Company terminates the Agreement for Cause before the end of the Term for reasons other than Cause; or Company terminates the Agreement for Cause, then Customer will pay, within thirty (30) days after such termination: (i) an amount equal to 100to75% of the unsatisfied AVC remaining during the year of termination, and for each subsequent contract year Contract Year remaining in the Term, plus (ii) a pro rata portion of any and all credits received by Customer. PromotionPromotions: The Customer is eligible for the following promotion promotions as set forth in the Guide: General Installation Waiver Promotion – v5.0 OPTION NO 328877 General Installation Waiver Promotion – v6.0 Initial Term: 36 months Month-to-Month Term: Upon expiration of the Initial Term or the Ramp Down Period, as applicableTerm, the Agreement is will be automatically extended (“Month-to-Month Term”) on a month-to-month basis until unless either party terminates it the Agreement upon 60 days' prior at least sixty (60) days written notice prior to the end of the Initial Term (“Extended Term”). Minimum Annual Volume Commitment (“AVC”): Customer agrees to pay Company no less than the following amounts $75,000 in Total Service Charges (the “AVC”) in Total Service Charges in each twelve-twelve month period during the Initial Term (“Contract Year”): Contract Year 1: $2,600,000 Contract Year 2: $3,250,000 Contract Year 3: $3,250,000).

Appears in 1 contract

Sources: Amendment 1

Underutilization and Early Termination Charges. If Customer’s Total Service Charges do not reach the AVC in any contract year Contract Year during the Initial Term, then Customer shall will pay an “Underutilization Charge” in equal to 10025% of the unmet AVC. If: (a) Customer terminates the Agreement before the end of the Term for reasons other than Cause; or Company (b) Verizon terminates the this Agreement for Cause, then Customer will pay, as Company’s sole and exclusive remedy for early termination by Customer, within thirty (30) 30 days after such termination: (i) an amount equal to 100the 25% of the unsatisfied AVC remaining during the year of termination, and for each subsequent contract year Contract Year remaining in the Term, plus (ii) a pro rata portion of any and all credits received by Customer. PromotionPromotions: The Customer is eligible for the following promotion promotions as set forth in the Guide: General Installation Waiver Regional Checkbook – Monthly Option – 2 Years Contract Renewal Promotion – v5.0 OPTION NO 328877 Initial Term: 36 24 months Month-to-Month Term: Upon expiration of the Initial Term or the Ramp Down Period, as applicableTerm, the Agreement is will be automatically extended (“Month-to-Month Term”) on a month-to-month basis until unless either party terminates it the Agreement upon 60 days' prior at least sixty (60) days written notice prior to the end of the Initial Term (“Extended Term”). Annual Volume Commitment (“AVC”): Customer agrees to pay Company no less than the following amounts $00.00 in Total Service Charges (the “AVC”) in Total Service Charges in during each twelve-month period during contract year of the Initial Term (“Contract Year”): Contract Year 1: $2,600,000 Contract Year 2: $3,250,000 Contract Year 3: $3,250,000Term.

Appears in 1 contract

Sources: Service Agreement

Underutilization and Early Termination Charges. If Customer’s Total Service Charges do not reach the AVC in any contract year during the Term, Customer shall pay an “Underutilization Charge” equal to 100% of the unmet AVC. If: (a) Customer terminates the Agreement before the end of the Term for reasons other than Cause; or Company terminates the Agreement for Cause, then Customer will pay, within thirty (30) days after such termination: (i) an amount equal to 100% of the unsatisfied AVC remaining during the year of termination, and for each subsequent contract year remaining in the Term, plus (ii) a pro rata portion of any and all credits received by Customer. Promotion: The Customer is eligible for the following promotion as set forth in the Guide: General Installation Waiver Promotion – v5.0 OPTION NO 328877 Initial Term: 36 months Month-to-Month Term: Upon expiration of the Initial Term or the Ramp Down Period, as applicable, the Agreement is automatically extended (“Month-to-Month Term”) on a month-to-month basis until either party terminates it upon 60 days' prior written notice Annual Volume Commitment (“AVC”): Customer agrees to pay Company Verizon no less than the following amounts (the “AVC”) in Total Service Charges in each twelve-month period during the Initial Term (“Contract Year”): Contract Year 1: $2,600,000 Contract Year 2: $3,250,000 Contract Year 3: $3,250,000

Appears in 1 contract

Sources: Option Agreement