Funding Security Clause Samples
The Funding Security clause establishes requirements for one party to provide assurance that sufficient funds are available to meet its financial obligations under the agreement. This may involve providing a letter of credit, performance bond, or other financial guarantee to the other party, ensuring that payments or project costs will be covered even if unforeseen issues arise. Its core practical function is to mitigate the risk of non-payment or default, thereby protecting the interests of the party expecting payment or performance.
Funding Security. 4.1 Funding, by way of first fixed security for the payment or discharge of that portion of the Funding Secured Obligations which represent the obligations and liabilities of Funding to the Current Issuer under the Current Issuer Intercompany Loan Agreement, subject to Clause 4 (Release of Funding Charged Property) of the Funding Deed of Charge, hereby:
(a) assigns by way of first fixed security to the Security Trustee for the benefit of the Current Issuer all of its right, title, benefit and interest, present and future, in, to and under:
(i) the Funding (Current Issuer) Bank Account Agreement; and
(ii) the Funding (Current Issuer) Guaranteed Investment Contract, including all rights to receive payment of any amounts which may become payable to Funding thereunder and all payments received by Funding thereunder including, without limitation, all rights to serve notices and/or make demands thereunder and/or to take such steps as are required to cause payments to become due and payable thereunder and all rights of action in respect of any breach thereof and all rights to receive damages or obtain relief in respect thereof and the proceeds of any of the foregoing, TO HOLD the same unto the Security Trustee absolutely;
(b) assigns by way of first fixed security in favour of the Security Trustee for the benefit of the Current Issuer all of its rights, title, benefit and interest, present and future, in and to all monies now or at any time hereafter standing to the credit of the Funding (Current Issuer) GIC Account and the debts represented by them together with all rights and claims relating or attached thereto including, without limitation, the right to interest and the proceeds of any of the foregoing, TO HOLD the same unto the Security Trustee absolutely; and
(c) charges by way of first fixed security to the Security Trustee for the benefit of the Current Issuer all of its right, title, benefit and interest, present and future in, to and under any Authorised Investment purchased using monies standing to the credit of the Funding (Current Issuer) GIC Account and all rights in respect of or ancillary to such Authorised Investments, including the right to income and the proceeds of any of the foregoing, TO HOLD the same unto the Security Trustee absolutely.
4.2 (a) Funding, by way of first fixed security for the payment or discharge of the Funding Secured Obligations, subject to Clause 4 (Release of Funding Charged Property) of the Funding Deed of Charge, hereb...
Funding Security. 2 4. Release of Funding Charged Property.................................................................5 5. Declaration of Trust................................................................................5 6. Enforcement.........................................................................................5
Funding Security. 4 4. Release of Funding Charged Property.....................................11
Funding Security. Permittee shall, not later than 90 days following the date of Permit issuance unless an extension of time is granted by USFWS, provide for financial assurance as described in Section 9 of the TU MSHCP in a form acceptable to USFWS as a written guarantee of its performance of all take minimization and take mitigation measures requiring the expenditure of funds for the California condor per TUMSHCP Table 9-1. In addition to the specific guarantee for California condor mitigation as provided above, execution of the Permit by Permittee will be authorized by a resolution of both Permittee and its parent company, Tejon Ranch Co., a Delaware corporation. These resolutions will acknowledge Permittee's responsibility for and duty to expend all sums contemplated and necessary to implement Permittee's obligations under the TU MSHCP. The resolutions will also provide for annual certifications by TRC's Chief Financial Officer, or equivalent officer, to the effect that such funds have been budgeted and approved by all necessary corporate action. Each year, following the adoption of TRC's corporate budget in December and prior