Lease Pull Ahead Programs Sample Clauses
A Lease Pull Ahead Program clause allows a lessee to terminate their current lease early, typically to enter into a new lease agreement with the same lessor or dealership. In practice, this clause may forgive some or all of the remaining payments or penalties on the existing lease if the lessee commits to a new lease, often as part of a promotional offer. The core function of this clause is to provide flexibility for lessees who wish to upgrade or change vehicles before their lease ends, while also encouraging customer retention for the lessor.
Lease Pull Ahead Programs. (a) GM may offer incentives to encourage Consumers to terminate their lease contracts or balloon installment contracts that GMAC purchased from GM Dealers, and return their vehicles before the scheduled maturity date, thereby relieving the Consumers of all or a portion of the obligations under their contracts if they simultaneously purchase or lease a new GM vehicle (e.g. from November 1, 2005 through December 31, 2005 Consumers were offered the opportunity to pull ahead contracts scheduled to mature from January through April 2006). GM will determine the periods during which the pull ahead programs are offered. GM is responsible for the total net cost of each lease pull ahead program and will reimburse GMAC for its total net cost of this program as provided in Exhibit C. If the program results in a net benefit to GM and GMAC, they will share equally in such benefit.
(b) GM will pay GMAC for vehicles returned in a particular month on a monthly basis in accordance with Section 3.12.
(c) GMAC will prepare and provide to GM a true-up statement once principally all eligible vehicles that did not pull ahead have been remarketed and it is possible to compare the remarketing proceeds of the vehicles that were pulled ahead to the remarketing proceeds of the eligible comparison vehicles that did not pull ahead. The true-up payment will be made in accordance with Section 3.12 by the party that owes the payment. [***] Indicates that text has been omitted which is the subject of a confidential treatment request. This text has been separately filed with the Securities and Exchange Commission
Lease Pull Ahead Programs. (a) GM may offer incentives to encourage Consumers to terminate their lease contracts or balloon installment contracts that GMAC purchased from GM Dealers, and return their vehicles before the scheduled maturity date, thereby relieving the Consumers of all or a portion of the obligations under their contracts if they simultaneously purchase or lease a new GM vehicle (e.g. from November 1, 2005 through December 31, 2005 Consumers were offered the opportunity to pull ahead contracts scheduled to mature from January through April 2006). GM will determine the periods during which the pull ahead programs are offered. GM is responsible for the total net cost of each lease pull ahead program and will reimburse GMAC for its total net cost of this program as provided in Exhibit C. If the program results in a net benefit to GM and GMAC, they will share equally in such benefit.
Lease Pull Ahead Programs. GM may offer incentives to encourage Consumers to terminate their lease contracts or balloon installment contracts that GMAC purchased from GM Dealers, and return their vehicles before the scheduled maturity date, thereby relieving the Consumers of all or a portion of the obligations under their contracts if they simultaneously purchase or lease a new GM vehicle (e.g. from November 1, 2005 through December 31, 2005 Consumers were offered the opportunity to pull ahead contracts scheduled to mature from January through April 2006). GM will determine the periods during which the pull ahead programs are offered. GM is responsible for the total net cost of each lease pull ahead program and will reimburse GMAC for its total net cost of this program as provided in Exhibit C. If the program results in a net benefit to GM and GMAC, they will share equally in such benefit.
(a) GMAC will invoice to GM for vehicles returned in a particular month by the 5th Business Day of the following month as described in Exhibit C based on a good faith estimate of the average per vehicle impact on remarketing proceeds due to the pull ahead program. GM will pay GMAC the invoice amount by the 15th calendar day of that same month or if the 15th calendar day falls on a weekend or a holiday weekend, by the closest Business Day to the 15th calendar day or if the 15th calendar day is the same number of calendar days from two Business Days, by the Business day that precedes the 15th calendar day (“Due Date”). If GMAC does not invoice GM by the 5th Business Day, the Due Date will be extended by the same number of calendar days that GMAC delays invoicing GM, counted from the 5th Business Day through the date on which GMAC actually invoices GM.
(b) GMAC will prepare a True-Up statement for GM; the owing party will make True-Up Payments once principally all eligible vehicles that did not pull ahead have been remarketed and it is possible to compare the remarketing proceeds of the vehicles that were pulled ahead to the remarketing proceeds of the eligible comparison vehicles that did not pull ahead. GM or GMAC, as applicable, will send an invoice to the other party by the 5th Business Day of the following month, and the owing party will pay the invoice amount to the other party by the 15th calendar day of that same month or if the 15th calendar day falls on a weekend or a holiday weekend, by the closest Business Day to the 15th calendar day or if the 15th calendar day is the same number of cale...