Minimum Annual Guaranty Clause Samples
The Minimum Annual Guaranty clause establishes a baseline amount that one party, typically a tenant or licensee, is obligated to pay to the other party each year, regardless of actual usage or revenue generated. In practice, this means that even if sales or activity fall below expectations, the paying party must still meet the agreed-upon minimum payment for the year. This clause ensures the receiving party has predictable income and reduces financial risk associated with fluctuating performance or market conditions.
Minimum Annual Guaranty. The Minimum Annual Guaranty for the Concession Unit is shown on said Exhibit “5 (the “Minimum Annual Guaranty”).
Minimum Annual Guaranty. (a) The Minimum Annual Guaranty for the Concession Unit is shown on said Exhibit “5”, as such amount may be adjusted based on the “as built” condition of that Concession Unit as provided in Paragraph D.2 above, and subject to further adjustment as provided in Paragraph E.1(b) below (the “Minimum Annual Guaranty”).
(b) On the Initial Minimum Annual Guaranty Adjustment Date (as hereafter defined in this Paragraph E.1(b)), and on each subsequent anniversary of such Initial Minimum Annual Guaranty Adjustment Date, the Minimum Annual Guaranty applicable to the Concession Unit pursuant to Paragraph E.1 above shall be increased or decreased (as applicable, and subject to the proviso at the end of this sentence) to eighty-five percent (85%) of the total Rent payable by Permittee to Port under Paragraph E above for the Concession Unit for the calendar year most recently ended prior to such anniversary of the Initial Minimum Annual Guaranty Adjustment Date; provided that the Minimum Annual Guaranty for the Concession Unit shall never be less than the amount in effect on the Rent Commencement Date. As used in this Permit, the “Initial Minimum Annual Guaranty Adjustment Date” shall occur on the July 1st immediately following the expiration of the first full calendar year that commenced on or after the Rent Commencement Date. Thus, for example, if the Rent Commencement Date occurred on May 1, 2015, the Initial Minimum Annual Guaranty Adjustment Date shall occur on July 1, 2017, the adjustment shall be based on the Rent payable by Permittee to Port under Paragraph E for the calendar year ending December 31, 2016, and subsequent adjustments shall occur on July 1, 2018 and on each subsequent July 1st during the remainder of the Term.
Minimum Annual Guaranty. 5 Paragraph E.2 Percentage Of Gross Receipts 5
Minimum Annual Guaranty. 4 Paragraph E.2 Percentage Of Gross Receipts 4 Paragraph E.3 Rent Commencement Date; Late Opening Charges; Prepayments 4 Paragraph E.4 Remitting Payments 5 Paragraph E.5 Tenant Infrastructure Fee. 6 Paragraph H.1 Relocation, Expansion, Contraction 8 Paragraph H.2 Future Terminal Buildings Additions 10 Paragraph I.1 Management 10 Paragraph I.2 Personnel 11 Paragraph I.3 Quality of Products and Services 12 Paragraph I.4 Franchise Standards 13 Paragraph I.5 Reports and Surveys 13 Paragraph I.6 Advertised Sales or Promotions 14 Paragraph I.7 Credit/Charge Cards and Traveler’s Checks 14 Paragraph I.8 Public Address System 14 Paragraph I.9 Noise and Lights 14
Minimum Annual Guaranty. Concessionaire shall not be responsible for the payment of the Minimum Annual Guarantee after October 31, 2015. Any payments of the Minimum Annual Guarantee made through the date of this First Amendment for the period on and after November 1, 2015 shall be credited, as provided below, against the Per-Trip Fee, as defined below.