BOND RELEASE; PAYMENT Clause Samples

BOND RELEASE; PAYMENT. If all of the original Bonds are released and returned to Surety within the Release Period, Surety hereby agrees that, within ten (10) days after receipt of all of the original Bonds, Surety shall pay to National, by check or wire transfer at the election of National (such election to be made by National by written notice to Surety no later than five (5) days after Surety's receipt of the original Bonds), $500,000 from the AIG Reclamation Collateral Account (as defined in the Reclamation Agreement). Notwithstanding any provision of the Reclamation Agreement to the contrary, Surety hereby acknowledges and agrees that, if the only Bonds that are not released and returned to Surety within the Release Period relate to Permits that cannot be transferred to National as a direct consequence of any action or failure to act (where action is required) solely by LCC, Surety shall pay to National an amount equal to $500,000 multiplied by a fraction, the numerator of which is the aggregate current bond penal amount of all original Bonds received by Surety within the Release Period, and the denominator of which is aggregate current bond penal amount of all Bonds. Surety hereby acknowledges and agrees that neither LCC nor any of its affiliates shall be obligated, as a result of such payment, to pay any amount to Surety or any of its affiliates in connection with the Reclamation Agreement or otherwise. For purposes of this Agreement, "Release Period" shall mean a period of time beginning on the day after the Closing Date (as defined in the Purchase Agreement) and extending for the sum of (a) one hundred eighty (180) days, plus (b) the greatest number of days, if any, by which the transfer of a Permit that is not transferred to National during the 180-days set forth in the immediately preceding subclause (a) has been delayed (i) as a direct consequence of any action or failure to act (when action was required) solely by LCC, including any such delay that arises from any past or future action or failure to act (when action was required) solely by LCC in connection with the transfer of the Permits from Tennessee Mining, Inc. to LCC, it being the intention of the Parties that the Release Period shall not begin to run until such time as the Permits have transferred from Tennessee Mining Inc. to LCC, or (ii) as a direct consequence of any lawsuit filed against Buyer, Seller or the Office of Surface Mining by the Sierra Club, the Tennessee Clean Water Network, Save Our Cumberlan...