Common use of Loss Adjustment Clause in Contracts

Loss Adjustment. (a) In the event of damage to the Aircraft or any part thereof not amounting to an Event of Loss, and provided that no Default or Event of Default has occurred and is continuing, Losses arising from the damage will be adjusted with Lessee and: (i) if the Loss does not exceed the Claims Limit or an equivalent amount in another currency, the loss proceeds of insurance will be paid directly to Lessee; and (ii) if the Loss exceeds the Claims Limit or an equivalent amount in another currency, the loss proceeds of insurance will be paid directly to the repairer or, with Lessor's express authorization, to Lessee or as Lessee may direct. For the avoidance of doubt, if any Default or Event of Default has occurred and is continuing, all Losses will be adjusted with Lessor and all loss proceeds of insurance will be paid to Lessor or as Lessor may direct. (b) All insurance proceeds in respect of third party liability will, except to the extent paid by the Insurers to the relevant third party, be paid to Lessor to be paid directly in satisfaction of the relevant liability or to Lessee in reimbursement of any payment so made.

Loss Adjustment. (a) In the event of damage to the Aircraft or any part thereof not amounting to an Event of Loss, and provided that no Default or Event of Default has occurred and is continuing, Losses arising from the damage will be adjusted with Lessee and: (i) if the Loss does not exceed the Claims Limit or an equivalent amount in another currency, the loss proceeds of insurance will be paid directly to Lessee; and (ii) if the Loss exceeds the Claims Limit or an equivalent amount in another currency, the loss proceeds of insurance will be paid directly to the repairer or, with Lessor's express authorizationauthorisation, to Lessee or as Lessee may direct. For the avoidance of doubt, if any Default or Event of Default has occurred and is continuing, all Losses will be adjusted with Lessor and all loss proceeds of insurance will be paid to Lessor or as Lessor may direct. (b) All insurance proceeds in respect of third party liability will, except to the extent paid by the Insurers to the relevant third party, be paid to Lessor to be paid directly in satisfaction of the relevant liability or to Lessee in reimbursement of any payment so made.