Common use of Calling on Security Clause in Contracts

Calling on Security. In the event that (i) an Event of Default with respect to Seller has occurred and is continuing or (ii) Duke Carolinas has issued a termination notice as a result of an Event of Default with respect to Seller, Duke Carolinas may exercise any one or more of the rights and remedies provided under this Agreement or as otherwise available under applicable law. Without limiting the foregoing, Duke Carolinas may, in such event, in its sole discretion and in addition to any of the remedies set forth in Section 8.2.1 above, draw on any outstanding Letter of Credit issued for its benefit. Seller shall restore any Letter of Credit to its original state or amount within thirty (30) days of the exercise of any right or remedy against or with respect to such Letter of Credit by Duke Carolinas; provided, however, that the foregoing shall not apply in the event that Duke Carolinas exercises any such right or remedy and, in addition thereto, terminates this Agreement.