Common use of Lease Defaults Clause in Contracts

Lease Defaults. Any one or more of the following will constitute an event of default (a “Lease Default”) as that term is used herein: (a) there occurs a default in the payment of Rent and the continuance thereof for a period of two (2) Business Days; (b) the failure by Funding LP to observe any other covenant herein which failure could reasonably be expected to have a Material Adverse Effect on Funding LP or Rental ULC, provided that if such breach of covenant is capable of being remedied, it shall not constitute a Lease Default unless it remains unremedied for five (5) Business Days after Funding LP or an Affiliate becomes aware of it; (c) the inaccuracy when made of a representation or warranty of Funding LP herein which inaccuracy could reasonably be expected to have a Material Adverse Effect on Funding LP or Rental ULC, provided that if such inaccuracy is capable of being remedied, then it shall not constitute a Lease Default unless it remains unremedied for five (5) Business Days after Funding LP or an Affiliate becomes aware of it; (d) the occurrence of a material adverse change since the date hereof in the financial condition or operations of Funding LP which, in the opinion of the Indenture Trustee or the Majority Holders of the Outstanding Senior Notes, and which opinion has been communicated in writing to Funding LP, could reasonably be expected to result in Funding LP (i) being unable to satisfy its obligations hereunder; (ii) becoming a bankrupt; or (iii) seeking the protection of Insolvency Legislation; (e) Avis, Budget, or Funding LP failing to pay when due any obligation (the “underlying obligation”) for a sum certain in excess of $2,000,000 and such failure continuing for three (3) Business Days after (i) written notice to Avis, Budget, or Funding LP, as applicable, from the party to whom the underlying obligation is owed if there is no grace period applicable to the underlying obligation; or (ii) the expiry of any grace period applicable to the underlying obligation; (f) an Insolvency Event occurs with respect to Funding LP; (g) the occurrence of an Event of Default; and (h) if the average of the ratio of: (i) the Funding LP Business Revenues for a Settlement Period to (ii) the sum of (x) Rental Revenues for such Settlement Period and (y) Loss on Dispositions calculated in respect of Non-Program Vehicles for such Settlement Period; for (x) three (3) consecutive Settlement Periods is less than 1.35:1 or (y) for 12 consecutive Settlement Periods is less than 1.6:1.

Lease Defaults. Any one or more of the following will acts or occurrences shall constitute an event of a default hereunder (each, a “"Lease Default”) as that term is used herein:"): (a) there occurs a on any Deposit Date, the Program Lessee shall fail to make, or cause to be made, to the Program Lessor, or the Indenture Trustee or Origination Trustee, as the case may be, in lieu of the Program Lessor, the Lease Payment due on such Deposit Date, and such default in the payment of Rent and the continuance thereof shall continue for a period of two (2) Business Days15 days or more after written notice thereof shall have been given to the Program Lessee by the Program Lessor; (b) the failure by Funding LP Program Lessee shall breach a material representation or warranty, or fail to observe perform any other covenant herein which failure could reasonably be expected to have a Material Adverse Effect on Funding LP contained in Articles Two or Rental ULC, provided that if such breach of covenant is capable of being remedied, it shall not constitute a Lease Default unless it remains unremedied for five (5) Business Days after Funding LP or an Affiliate becomes aware of itFive; (c) the inaccuracy when made Program Lessee shall default in the due performance and observance of any of its covenants or agreements in this Agreement, which default materially and adversely affects the rights of the Program Lessor or its interest in the 99% 1999-A Vehicle SUBI Certificate or the 99% 1999-A Lease SUBI Certificate, and such default shall continue for a representation or warranty period of Funding LP herein which inaccuracy could reasonably be expected 30 days after written notice thereof shall have been given to have a Material Adverse Effect on Funding LP or Rental ULC, provided that if such inaccuracy is capable of being remedied, then it shall not constitute a Lease Default unless it remains unremedied for five (5) Business Days after Funding LP or an Affiliate becomes aware of itthe Program Lessee by the Program Lessor; (d) any representation, warranty or statement of the occurrence of Program Lessee made in this Agreement or any other Basic Document, or any certificate, report or other writing delivered pursuant to this Agreement or an Administration Supplement shall prove to have been incorrect when made, which has a material adverse change since effect on the date hereof Program Lessor or its interest in the financial condition 99% 1999-A Vehicle SUBI Certificate or operations the 99% 1999-A Lease SUBI Certificate and such material adverse effect shall continue for a period of Funding LP which30 days after written notice thereof shall have been given to the Program Lessee by the Program Lessor or by the Indenture Trustee; (i) the existence of any proceeding or action involving, or the entry of a decree or order for relief by a court or regulatory authority having jurisdiction over the Program Lessee in, an involuntary case under the federal bankruptcy laws, as now or hereafter in effect, or the appointment of a receiver, liquidator, assignee, trustee, custodian, sequestrator or other similar official of the Program Lessee or of any substantial part of its property, or the ordering of the winding up or the liquidation of the affairs of the Program Lessee and the continuance of any such action, proceeding, decree or order unstayed and, in the opinion case of the Indenture Trustee any such order or the Majority Holders of the Outstanding Senior Notesdecree, and which opinion has been communicated in writing to Funding LP, could reasonably be expected to result in Funding LP (i) being unable to satisfy its obligations hereunder; (ii) becoming a bankrupt; or (iii) seeking the protection of Insolvency Legislation; (e) Avis, Budget, or Funding LP failing to pay when due any obligation (the “underlying obligation”) effect for a sum certain in excess period of $2,000,000 and such failure continuing for three (3) Business Days after (i) written notice to Avis, Budget, or Funding LP, as applicable, from the party to whom the underlying obligation is owed if there is no grace period applicable to the underlying obligation; 60 consecutive days or (ii) the expiry commencement by the Program Lessee of a voluntary case under the federal bankruptcy laws, as now or hereafter in effect, or the consent by the Program Lessee to the appointment of or taking of possession by a receiver, liquidator, assignee, trustee, custodian, sequestrator or other similar official of the Program Lessee or of any grace period applicable substantial part of its property or the making by the Program Lessee of an assignment for the benefit of creditors or the failure by the Program Lessee generally to pay its debts as such debts become due or the underlying obligation;taking of action by the Program Lessee in furtherance of any of the foregoing; or (f) there shall occur an Insolvency Event occurs with respect to Funding LP; (g) the occurrence of an Event of Indenture Default; and (h) if the average of the ratio of: (i) the Funding LP Business Revenues for a Settlement Period to (ii) the sum of (x) Rental Revenues for such Settlement Period and (y) Loss on Dispositions calculated in respect of Non-Program Vehicles for such Settlement Period; for (x) three (3) consecutive Settlement Periods is less than 1.35:1 or (y) for 12 consecutive Settlement Periods is less than 1.6:1.

Lease Defaults. Any one or more of the following will constitute an event of default (a “Lease Default”) as that term is used herein: (a) there occurs a default in the payment of Rent and the continuance thereof for a period of two (2) Business Days; (b) the failure by Funding LP to observe any other covenant herein which failure could reasonably be expected to have a Material Adverse Effect on Funding LP or Rental ULC, provided that if such breach of covenant is capable of being remedied, it shall not constitute a Lease Default unless it remains unremedied for five (5) Business Days after Funding LP or an Affiliate becomes aware of it; (c) the inaccuracy when made of a representation or warranty of Funding LP herein which inaccuracy could reasonably be expected to have a Material Adverse Effect on Funding LP or Rental ULC, provided that if such inaccuracy is capable of being remedied, then it shall not constitute a Lease Default unless it remains unremedied for five (5) Business Days after Funding LP or an Affiliate becomes aware of it; (d) the occurrence of a material adverse change since the date hereof in the financial condition or operations of Funding LP which, in the opinion of the Indenture Trustee or the Majority Holders of the Outstanding Senior Notes, and which opinion has been communicated in writing to Funding LP, could reasonably be expected to result in Funding LP (i) being unable to satisfy its obligations hereunder; (ii) becoming a bankrupt; or (iii) seeking the protection of Insolvency Legislation; (e) Avis, Budget, Zipcar or Funding LP failing to pay when due any obligation (the “underlying obligation”) for a sum certain in excess of $2,000,000 20,000,000 and such failure continuing for three (3) Business Days after (i) written notice to Avis, Budget, Zipcar or Funding LP, as applicable, from the party to whom the underlying obligation is owed if there is no grace period applicable to the underlying obligation; or (ii) the expiry of any grace period applicable to the underlying obligation; (f) an Insolvency Event occurs with respect to Funding LP;; and (g) the occurrence of an Event of Default; and (h) if the average of the ratio of: (i) the Funding LP Business Revenues for a Settlement Period to (ii) the sum of (x) Rental Revenues for such Settlement Period and (y) Loss on Dispositions calculated in respect of Non-Program Vehicles for such Settlement Period; for (x) three (3) consecutive Settlement Periods is less than 1.35:1 or (y) for 12 consecutive Settlement Periods is less than 1.6:1.

Lease Defaults. Any one or more of the following will acts or occurrences shall constitute an event of a default hereunder (each, a “"Lease Default”) as that term is used herein:"): (a) there occurs a on any Deposit Date, the Program Lessee shall fail to make, or cause to be made, to the Program Lessor, or the Indenture Trustee or Vehicle Trustee, as the case may be, in lieu of the Program Lessor, the Lease Payment due on such Deposit Date, and such default in the payment of Rent and the continuance thereof shall continue for a period of two (2) Business Days15 days or more after written notice thereof shall have been given to the Program Lessee by the Program Lessor; (b) the failure by Funding LP Program Lessee shall fail to observe perform any other covenant herein which failure could reasonably be expected to have a Material Adverse Effect on Funding LP contained in Articles Two or Rental ULC, provided that if such breach of covenant is capable of being remedied, it shall not constitute a Lease Default unless it remains unremedied for five (5) Business Days after Funding LP or an Affiliate becomes aware of itFive; (c) the inaccuracy when made Program Lessee shall default in the due performance and observance of any of its covenants or agreements in this Agreement, which default materially and adversely affects the rights of the Program Lessor or its interest in the 2000-A Vehicle SUBI Certificate or the 2000-A Lease SUBI Certificate, and such default shall continue for a representation or warranty period of Funding LP herein which inaccuracy could reasonably be expected 30 days after written notice thereof shall have been given to have a Material Adverse Effect on Funding LP or Rental ULC, provided that if such inaccuracy is capable of being remedied, then it shall not constitute a Lease Default unless it remains unremedied for five (5) Business Days after Funding LP or an Affiliate becomes aware of itthe Program Lessee by the Program Lessor; (d) any representation, warranty or statement of the occurrence of Program Lessee made in this Agreement or any other Basic Document, or any certificate, report or other writing delivered pursuant to this Agreement or a Servicing Supplement shall prove to have been incorrect when made, which has a material adverse change since effect on the date hereof Program Lessor or its interest in the financial condition 2000-A Vehicle SUBI Certificate or operations the 2000-A Lease SUBI Certificate and such material adverse effect shall continue for a period of Funding LP which30 days after written notice thereof shall have been given to the Program Lessee by the Program Lessor or by the Indenture Trustee; (i) the existence of any proceeding or action involving, or the entry of a decree or order for relief by a court or regulatory authority having jurisdiction over the Program Lessee in, an involuntary case under the federal bankruptcy laws, as now or hereafter in effect, or the appointment of a receiver, liquidator, assignee, trustee, custodian, sequestrator or other similar official of the Program Lessee or of any substantial part of its property, or the ordering of the winding up or the liquidation of the affairs of the Program Lessee and the continuance of any such action, proceeding, decree or order unstayed and, in the opinion case of the Indenture Trustee any such order or the Majority Holders of the Outstanding Senior Notesdecree, and which opinion has been communicated in writing to Funding LP, could reasonably be expected to result in Funding LP (i) being unable to satisfy its obligations hereunder; (ii) becoming a bankrupt; or (iii) seeking the protection of Insolvency Legislation; (e) Avis, Budget, or Funding LP failing to pay when due any obligation (the “underlying obligation”) effect for a sum certain in excess period of $2,000,000 and such failure continuing for three (3) Business Days after (i) written notice to Avis, Budget, or Funding LP, as applicable, from the party to whom the underlying obligation is owed if there is no grace period applicable to the underlying obligation; 60 consecutive days or (ii) the expiry commencement by the Program Lessee of a voluntary case under the federal bankruptcy laws, as now or hereafter in effect, or the consent by the Program Lessee to the appointment of or taking of possession by a receiver, liquidator, assignee, trustee, custodian, sequestrator or other similar official of the Program Lessee or of any grace period applicable substantial part of its property or the making by the Program Lessee of an assignment for the benefit of creditors or the failure by the Program Lessee generally to pay its debts as such debts become due or the underlying obligation;taking of action by the Program Lessee in furtherance of any of the foregoing; or (f) there shall occur an Insolvency Event occurs with respect to Funding LP; (g) the occurrence of an Event of Indenture Default; and (h) if the average of the ratio of: (i) the Funding LP Business Revenues for a Settlement Period to (ii) the sum of (x) Rental Revenues for such Settlement Period and (y) Loss on Dispositions calculated in respect of Non-Program Vehicles for such Settlement Period; for (x) three (3) consecutive Settlement Periods is less than 1.35:1 or (y) for 12 consecutive Settlement Periods is less than 1.6:1.