Common use of Bankruptcy of A/E Clause in Contracts

Bankruptcy of A/E. 8.4.1.1 If the A/E files a voluntary petition in bankruptcy or has an involuntary petition in bankruptcy filed against it, the A/E, the A/E as the debtor-in-possession, or the trustee of the A/E’s bankruptcy estate shall file a motion to assume or reject the Agreement under Bankruptcy Code §365, 11 U.S.C. §365, within 20 days after the filing of the voluntary petition or involuntary petition and shall diligently prosecute that motion to conclusion so as to obtain an order granting or denying that motion within 45 days after the filing of the voluntary or involuntary petition. The failure to file and prosecute that motion within the time limits provided by this Section 8.4 shall constitute a material breach of the Agreement as time is of the essence with respect to A/E’s performance of all terms of this Agreement. A/E agrees to the granting of relief from the automatic stay of the Bankruptcy Code, 11 U.S.C. §362(a), to permit the Contracting Authority to terminate the Agreement for cause in such instance and issue and serve all notices necessary to terminate the Agreement or arising out of the termination of the Agreement and to take any and all other action necessary to terminate the Agreement.

Bankruptcy of A/E. 8.4.1.1 If the A/E files a voluntary petition in bankruptcy or has an involuntary petition in bankruptcy filed against it, the A/E, the A/E as the debtor-in-possession, or the trustee of the A/E’s bankruptcy estate shall file a motion to assume or reject the Agreement under Bankruptcy Code §365, 11 U.S.C. §365, within 20 days after the filing of the voluntary petition or involuntary petition and shall diligently prosecute that motion to conclusion so as to obtain an order granting or denying that motion within 45 days after the filing of the voluntary or involuntary petition. The failure to file and prosecute that motion within the time limits frames provided by this Section 8.4 shall constitute a material breach of the Agreement as time is of the essence with respect to A/E’s performance of all terms of this Agreement. A/E agrees to the granting of relief from the automatic stay of the Bankruptcy Code, 11 U.S.C. §362(a), to permit the Contracting Authority to terminate the Agreement for cause in such instance and issue and serve all notices necessary to terminate the Agreement or arising out of the termination of the Agreement and to take any and all other action necessary to terminate the Agreement.