Common use of Capital Assets Clause in Contracts

Capital Assets. Upon termination of this Agreement the Retail Service Assets in the City and Parchment shall be the property of the City. The Retail Service Assets in the Townships shall be the property of the Township in which the asset is located. Upon termination of this Agreement the Wholesale Service Assets shall become shared assets of the City and the Townships which shall not be separated or divided but used for the benefit of all Customers unless the City and the Townships agree otherwise by separate agreement. The City and/or Township(s) in which Retail Service Assets are located shall assume all debt directly related to that Retail Service Asset. The City and the Townships shall each assume a portion of the debt associated with the Wholesale Service Assets which become shared Assets of the City and the Townships in a manner that, as closely as practicable reflects the City Customers and Township Customers’ proportional use of the Public Water Supply System applying the applicable share of Assets/Costs Methodology defined in Section 8.5 of this Agreement to and between the City Customers and the Township Customers (not to the Customer Classes as described in Section 8.5).

Capital Assets. Upon termination of this Agreement the Retail Service Assets in the City and Parchment shall be the property of the City. The Retail Service Assets in the Townships shall be the property of the Township in which the asset is located. Upon termination of this Agreement the Wholesale Service Assets shall become shared assets of the City and the Townships which shall not be separated or divided but used for the benefit of all Customers unless the City and the Townships agree otherwise by separate agreement. The City and/or Township(s) in which Retail Service Assets are located shall assume all debt directly related to that Retail Service Asset. The City and the Townships shall each assume a portion of the debt associated with the Wholesale Service Assets which become shared Assets of the City and the Townships in a manner that, as closely as practicable reflects the City Customers and Township Customers’ proportional use of the Public Water Supply System applying the applicable share of Assets/Costs Methodology defined in Section 8.5 of this Agreement to and between the City Customers and the Township Customers (not to the Customer Classes as described in Section 8.5).. A rticle 19 – Assignment (This section included in whole)