Common use of Late Completion Clause in Contracts

Late Completion. If commencement of construction does not occur on or before the Outside Construction Commencement Date and/or Commercial Operation does not occur on or before the Outside Commercial Operation Date for any reason other than User’s failure to perform its obligations hereunder, Contractor shall pay to User lost revenues plus User’s administrative costs as the basis for damage (“Delay Liquidated Damages”), as set forth in the Special Terms and Conditions attached as Exhibit F. Notwithstanding the foregoing, Contractor shall not be responsible for Delay Liquidated Damages in the event that Contractor cannot satisfy the Outside Construction Commencement Date and/or Outside Commercial Operation Date milestone because Contractor lacks a permit, approval or Interconnection Agreement necessary to commence construction and/or Commercial Operation of the PV System, and Contractor is utilizing Commercially Reasonable efforts to secure such permit, approval or Interconnection Agreement. The Parties recognize the delays, expense and difficulties involved in proving the actual losses or damages in a judicial or other proceeding, and agree that the Delay Liquidated Damages are reasonable compensation to User. Payment of Delay Liquidated Damages shall not preclude User from seeking other damages at law or equity to which it may be entitled as a result of Contractor’s failure to achieve commencement of construction on or before the Outside Construction Commencement Date and/or Commercial Operation on or before the Outside Commercial Operation Date.