Audit Remediation Failure Sample Clauses
The Audit Remediation Failure clause defines the consequences and procedures that apply when a party fails to address issues identified during an audit. Typically, this clause requires the audited party to correct any deficiencies or non-compliance findings within a specified timeframe after receiving notice. If the party does not remediate the issues as required, the clause may allow the other party to impose penalties, withhold payments, or even terminate the agreement. Its core function is to ensure accountability and prompt correction of compliance failures, thereby protecting the interests of the auditing party and maintaining contractual standards.
Audit Remediation Failure. As set forth in Section 15.3.2, if the Parties are unable to agree to a remediation plan within thirty (30) days of FMC’s preparation and presentation of such plan to SunTrust pursuant to the first sentence of Section 15.3.2, or if FMC or FMER, as applicable, shall be unable to complete and install adequate modifications (as set forth in the plan of remediation) within the deadline set forth in any such plan of remediation; provided, however, that if (i) subsequent to such thirty (30) day period a remediation plan shall be agreed, or if subsequent to such other deadline set forth in any such plan of remediation, FMC or FMER, as applicable, is able to complete and install adequate modifications in accordance therewith, as applicable, and (ii) the Agreement has not been effectively terminated prior to such agreement or completion of modifications, then no Party may deliver a notice of termination under this Section 18.2.6 thereafter in connection with such subsequently remedied failure described in this subsection or Section 15.3.2.