Faithful Performance Guarantee Sample Clauses
A Faithful Performance Guarantee is a contractual provision that ensures one party will fulfill its obligations as specified in the agreement. Typically, this guarantee is provided in the form of a bond or other financial security, which can be claimed by the other party if the obligations are not met. For example, a contractor may be required to provide such a guarantee to assure a client that the project will be completed according to the contract terms. The core function of this clause is to protect the beneficiary from losses due to non-performance or default, thereby allocating risk and promoting trust between the parties.
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Faithful Performance Guarantee. 7.1 Prior to License execution, Licensee shall furnish to City and maintain throughout the term of this License a Faithful Performance Guarantee of One Hundred Thousand Dollars ($100,000) or three times the estimated monthly payment, whichever is greater, to secure the faithful performance by Licensee of all the terms, provisions, and covenants contained herein, including but not limited to covering Licensee’s delinquent payment and its other obligations to City. Such Guarantee shall be separate from any other Guarantee(s) required by City. The Guarantee shall be submitted to: Los Angeles World Airports Attn: Accounting Operations FPG Coordinator ▇▇ ▇▇▇ ▇▇▇▇▇ ▇▇▇ ▇▇▇▇▇▇▇, ▇▇ ▇▇▇▇▇-▇▇▇▇
7.2 FPGs of Twenty Five Thousand Dollars ($25,000) or less shall be in the form of a Cashier’s Check, Company Check, Money Order, Certificate of Deposit or Irrevocable Letter of Credit. Performance Guarantees in excess of Twenty Five Thousand Dollars ($25,000) shall be in the form of an Irrevocable Letter of Credit only. Letters of Credit shall be self-renewing from year-to-year and shall remain in full force and effect for a minimum period of ninety (90) days following termination or cancellation of License. All FPGs must be approved as to form by the City Attorney.
7.3 If Licensee’s monthly monetary obligation to City is thereafter increased in excess of ten percent (10%), Licensee shall, within sixty (60) days after receiving written notice from City, increase the amount of the FPG to equal the sum of three (3) times the new amount. If Licensee’s monthly monetary obligation to City is thereafter decreased in excess of ten percent (10%), the amount of the FPG may be correspondingly decreased to a sum equal to three (3) times the new amount sixty (60) days following written notice to City by Customer.
7.4 If all or any part of said FPG is used to pay delinquent account as set forth in Section 6 above, Licensee shall, within sixty (60) days after draw down, replenish said FPG so that the FPG will equal to three (3) times the highest monthly fee at all times during the term of the License.
7.5 Failure to replenish the FPG after ninety (90) days from drawdown or failure to maintain the FPG in a sufficient amount throughout the term hereof, shall constitute a material breach of contract.
7.6 Upon the expiration or earlier termination of this License and if Licensee has satisfied all of its obligations to City hereunder, City shall relinquish to Licensee said FPG balance followi...
Faithful Performance Guarantee. Concessionaire shall furnish to City, at Concessionaire's sole cost and expense, and shall keep in full force and effect and available during the complete term of this Agreement (including any unauthorized hold over period) and for thirty (30) days after the surrender of possession in accordance with the requirements of this Agreement, a Faithful Performance Guarantee ("FPG") to secure the faithful performance by Concessionaire of all terms, provisions, and covenants contained herein, including, but not limited to, the payment of its Monthly Base Rent, Additional Rent, and any other specified compensation. The initial amount of the FPG shall be an amount equal to twenty five percent (25%) of the MAG as specified in this Agreement. Such FPG shall be separate from any other guarantee(s) required by City.
13.3.1 If Concessionaire has previously provided such FPG to City and if, for any reason, Concessionaire's monthly monetary obligation to City is thereafter increased in excess of ten percent (10%), then the amount of Concessionaire's FPG shall, within thirty (30) days after receiving written notice from City, correspondingly be increased.
13.3.2 If Concessionaire has previously provided such FPG to City and if, for any reason, Concessionaire's monthly monetary obligation to City is thereafter decreased in excess of ten percent (10%), then the amount of Concessionaire's FPG may be correspondingly decreased thirty (30) days following written notice to City by Concessionaire.
Faithful Performance Guarantee. Contractor shall furnish to City, at Contractor’s sole cost and expense, and shall keep in full force and effect and available during the Term of this Agreement and for thirty (30) days after the vacation of the management and operation of the bus maintenance services in accordance with the requirements of this Agreement, a Faithful Performance Guarantee (“FPG”) to secure the faithful and timely performance by Contractor of all terms, provisions, and covenants contained in this Agreement. The amount of the FPG shall be Five Hundred Thousand Dollars ($500,000) (herein, the “FPG Amount”). Such FPG shall be separate from any other guarantee(s) required by City.
Faithful Performance Guarantee. Failure of Concessionaire to provide and maintain the Faithful Performance Guarantee as required under this Agreement for a period of five (5) days after written notice;
Faithful Performance Guarantee. (Bond, Irrevocable Letter of Credit, Certificate of Deposit, Savings or Money Market Account)
Faithful Performance Guarantee. Prior to commencement of construction of any portion of the Work by ▇▇▇▇▇▇▇▇▇’s Contractor, Developer must provide District with a faithful performance bond, letter of credit or other financial security satisfactory to District, such as a performance bond held by Sacramento Count, (“Performance Guarantee”) in a sum equal to no less than 100% of the estimated cost of the Work to be constructed in public or private streets or rights-of-way or on public property. The Performance Guarantee will be for the purpose of insuring the proper and timely completion of the Work. In the event of the failure of Developer to complete the Work covered by the Performance Guarantee and District completes construction of the Work or any portion of it, Developer and its surety under the Performance Guarantee will be jointly and severally liable to District for the costs of completion, including, but not limited to, management and administrative costs, and engineering, legal and other costs incurred relating to the completion. District will bill Developer and the surety (or Sacramento County, if the Performance Guarantee is held by them) for the costs, which bill must be paid within thirty days of its date. Interest will accrue on any late payment at the legal rate then prevailing.
Faithful Performance Guarantee. 10.1 Within ten (10) days following the execution of this Agreement by Operator, Operator shall furnish to City, at Operator’s sole cost and expense, and shall keep in full force and effect and available during the Term of this Agreement and for thirty (30) days after the vacation of the Facilities in accordance with the requirements of this Agreement, a Faithful Performance Guarantee (“FPG”) in the form of either a letter of credit or a performance and payment bond (“Bond”) acceptable to, and approved as to form by, the Los Angeles City Attorney’s Office, to secure the faithful and timely performance by Operator of all terms, provisions, and covenants contained in this Agreement. The form of the Bond is attached to this Agreement as Exhibit G-l. The amount of the FPG shall be Five Million Dollars ($5,000,000) (herein, the “FPG Amount”). Such FPG shall be separate from any other guarantee(s) required by City.
10.2 To the extent City may require as part of City’s construction approval process that Alterations installed by Operator are to be removed upon the expiration or earlier termination of this Agreement, then the FPG may be increased by the amount reasonably estimated as the cost to remove such Alterations and to restore any damage to the Facilities caused thereby.
10.3 The FPG shall be in the form of (A) an irrevocable standby letter of credit (“LOC”), which shall be self-renewing with an “evergreen clause” that renews the credit from year to year without amendment, subject to termination upon sixty (60) days written notice to City or (B) a Bond, and issued by issuer acceptable to City, with offices in Los Angeles, California. The LOC or Bond, as applicable, shall allow for partial and multiple drawings by City, and must have an expiry date consistent with the ability to make such drawings for the full period required hereunder. The FPG and all amendments increasing the FPG Amount must be approved as to form by the City Attorney.
10.4 Operator shall furnish the FPG in duplicate no later than ten (10) days after the execution of this Agreement by Operator, and any amendments to the FPG relating to the adjustment of the FPG Amount shall be delivered to City within thirty (30) days following the effective date of such adjustment. If, for any reason, said FPG is not provided by Operator or is not thereafter maintained in sufficient amount throughout the Term hereof, City may terminate this Agreement for cause at any time upon giving Operator five (5) days...
Faithful Performance Guarantee. Concessionaire shall furnish to City, at Concessionaire's sole cost and expense, and shall keep in full force and effect and available during the complete term of this Agreement (including any unauthorized hold over period) and for thirty (30) days after tire surrender of possession in accordance with the requirements of this Agreement, a Faithful Performance Guarantee ("FPG") to secure the faithful performance by Concessionaire of all terms, provisions, and covenants contained herein, including, but not limited to, the payment of its Monthly Base Rent (including any Percentage Fees), Additional Rent, and any other specified compensation. The initial amount of the FPG shall be twelve (12) times an amount equal to twenty five percent (25%) of the Minimum Monthly Guaranteed Rent as specified in this Agreement. Such FPG shall be separate from any other guarantee(s) required by City.
Faithful Performance Guarantee