Concerning Article V Clause Samples

Concerning Article V. Notwithstanding any other provision in Article V of the General Provisions to the contrary, there may be no withdrawal from the Escrow Fund unless the Company is in compliance with this paragraph (h). Any provision of Article V of the General Provisions which are consistent with these Special Provisions shall be given effect. (a) Before each withdrawal from the Escrow Fund, a Responsible Officer of the Company shall: (1) deliver an Officer's Certificate, in form and substance satisfactory to the Secretary stating that (a)(i) the amounts of Actual Cost relative to such withdrawal are in accordance with the Construction Contract including the disbursement schedule and, (ii) each item in these amounts is properly included in the Secretary's approved estimate of Actual Cost; and (b) with respect to such withdrawal that, once the Contractor is paid, there will be no liens or encumbrances on the applicable portion of the Vessels or its component parts for which withdrawal is being requested except for security interests already approved by the Secretary, and (2) provide, in form and substance satisfactory to the Secretary, (a) an Officer's Certificate from each Contractor to be paid with the requested withdrawal that, once the Contractor is paid, there will be no liens or encumbrances on the applicable portion of the Vessel or its component parts for which withdrawal is being requested except for security interests already approved by the Secretary, (b) invoices and receipts supporting each withdrawal to the satisfaction of the Secretary, and (c) monthly updates of the master construction schedule, material or delivery schedule, any changes in the schedule of anticipated disbursements from the Escrow Fund, and the detailed cost estimates and working plans and specifications which must be satisfactory to the Secretary. (b) The final request for a withdrawal of substantially all the proceeds in the Escrow Fund submitted by the Company shall be accompanied by Officer's Certificates of the Company and its independent auditor, together with such supporting documentation from the Contractors as the Secretary may require, stating that the Construction has been accomplished and the Vessel has been completed and delivered, and the Company's Certificate shall also state that there are no liens or claims outstanding, except those authorized by the Secretary. In addition, the Company shall provide certificates of insurance satisfactory to the Secretary, confirming that all ...