Charterer Security Clause Samples

Charterer Security. (a) Charterer Guarantee (i) As security for Charterer’s obligations under sections 8.11(a) and (b) of this Charter, Charterer shall arrange on or prior to the Effective Date for the Charterer Guarantee to be issued by the Charterer Guarantor in an amount of ***** United States dollars (U.S.$ *****).

Charterer Security. (a) Charterer Guarantee (i) As security for Charterer’s obligations under this Charter, Charterer shall arrange on or prior to the Effective Date for the Charterer Guarantee to be issued by the Charterer Guarantor in an amount of ***** Dollars ($*****). The Charterer Guarantee shall be available to secure Owner’s rights to receive payments of Hire or of any other sum due under or in relation to this Charter, even arising out of a termination of letting of the Vessel hereunder. (ii) In circumstances where the Term has been ended by Owner after and because of the occurrence of a Charterer Event of Default, pending determination of the amount of Charterer’s liability as referred to in section 39.1(d), on each date which would have been

Charterer Security. As an essential inducement and consideration for entering into this Charter, Owner is relying on the legal, valid, binding and enforceable nature of the Letter of Credit.