Common use of Form of Collateral Clause in Contracts

Form of Collateral. When Network User has to submit a Collateral according to Articles 7.1.1 and 7.1.2, Network User must submit an unconditional and irrevocable Bank Guarantee issued by a bank approved by the Financial Services & Markets Authority (or by an equivalent body in one of the Members States of the European Union) and which has an acceptable credit rating as specified in Article 7.1.1(ii). The Network User must demonstrate annually that the financial institution, or the equivalent body, still meets the requirements stipulated in Article 7.1.1 (ii) and has extended the Bank Guarantee’s term.

Form of Collateral. When Network User has to submit a Collateral according to Articles 7.1.1 and 7.1.2, Network User must submit an unconditional and irrevocable Bank Guarantee issued by a bank approved by the Financial Services & Markets Authority (or by an equivalent body in one of the Members States of the European Union) and which has an acceptable credit rating as specified in Article 7.1.1(ii). The Network User must demonstrate annually that the financial institution, or the equivalent body, still meets the requirements stipulated in Article 7.1.1 (ii) and has extended the Bank Guarantee’s term.equivalent