Replacement Proceeds Clause Samples

The Replacement Proceeds clause defines how funds received from insurance claims, government awards, or other compensation for damaged or destroyed property are handled. Typically, this clause specifies that such proceeds must be used to repair, restore, or replace the affected property, or alternatively, how the proceeds are to be distributed among relevant parties if the property is not replaced. Its core practical function is to ensure that compensation received for lost or damaged assets is properly allocated, thereby protecting the interests of both property owners and lenders by maintaining the value or utility of the original asset.
Replacement Proceeds. The Agency has not created or established, nor does it expect to create or establish, any sinking fund or other similar fund which could be utilized to pay the principal of and/or interest on the Allocable Bonds, including, without limitation, any arrangement under which money, securities or other obligations are pledged directly or indirectly to secure the payment thereof or any contract securing the payment thereof or any arrangement providing for compensatory or minimum balances to be maintained by the Agency with any owner or credit enhancer of the Allocable Bonds. No portion of the original proceeds of the Allocable Bonds will be used as a substitute for other funds of the Agency which were to be used as a source of financing for any portion of the costs of the Project.
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Replacement Proceeds. Condemnation and/or damage insurance proceeds shall be divided between the Acquiring Party and the Club as provided in the Declaration notwithstanding anything in this Agreement or any Security Document to the contrary, as though the Acquiring Party were the Declarant with respect to the Property.
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Replacement Proceeds. (i) Funds and accounts established under the plan of financing that will hold replacement proceeds are described in Section 3.1(d) below. ▇▇▇▇ ▇▇▇▇▇ 4/20/17 3:45 PM (ii) Neither the Lessee, nor any Person related to the Lessee within the meaning of Section 147(a) of the Code and Treas. Reg. 1.150 (a "Related Person"), has on hand any funds which could legally and practically be used for the purposes for which the Master Agreement is issued, or to pay the Interest Component, which funds are not pledged, budgeted, earmarked or otherwise necessary to be used for other purposes. Accordingly, no portion of the Master Agreement Proceeds will be used (A) directly or indirectly to replace funds of the Lessee or any Related Person that could be used for the purpose for which the Master Agreement is issued or (B) to replace any proceeds of any prior issuance of obligations by the Lessee or any Related Person. ▇▇▇▇ ▇▇▇▇▇ 4/20/17 3:45 PM ▇▇▇▇ ▇▇▇▇▇ 4/20/17 3:45 PM Deleted: Acquisition Amount ▇▇▇▇ ▇▇▇▇▇ 4/20/17 3:45 PM Deleted: Acquisition Amount ▇▇▇▇ ▇▇▇▇▇ 4/20/17 3:45 PM Deleted: to the payment of ▇▇▇▇ ▇▇▇▇▇ 4/20/17 3:45 PM Moved down [3]: Equipment ▇▇▇▇ ▇▇▇▇▇ 4/20/17 3:45 PM Deleted: Costs ▇▇▇▇ ▇▇▇▇▇ 4/20/17 3:45 PM ▇▇▇▇ ▇▇▇▇▇ 4/20/17 3:45 PM Deleted: Page Break ▇▇▇▇ ▇▇▇▇▇ 4/20/17 3:45 PM ▇▇▇▇ ▇▇▇▇▇ 4/20/17 3:45 PM 03982020.2 6 (iii) There are no "replacement proceeds" (within the meaning of Treas. Reg. §1.148-1(c)) of the Master Agreement, and the Master Agreement will not remain outstanding longer than necessary to accomplish the governmental purposes of the Master Agreement (within the meaning of Treas. Reg. §1.148-10(a)(4)), in that the weighted average maturity of the principal component of the Periodic Payments ( years) is less than 120% of the average reasonably expected economic life of the Equipment (12 years) as set forth on Exhibit 2.1.
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Replacement Proceeds. (i) Funds and accounts established under the plan of financing that will hold replacement proceeds are described in Section 3.1(d) below. (ii) Neither the Lessee, nor any Person related to the Lessee within the meaning of Section 147(a) of the Code and Treas. Reg. 1.150 (a "Related Person"), has on hand any funds which could legally and practically be used for the purposes for which the Master Agreement is issued, or to pay the Interest Component, which funds are not pledged, budgeted, earmarked or otherwise necessary to be used for other purposes. Accordingly, no portion of the Master Agreement Proceeds will be used (A) directly or indirectly to replace funds of the Lessee or any Related Person that could be used for the purpose for which the Master Agreement is issued or (B) to replace any proceeds of any prior issuance of obligations by the Lessee or any Related Person. (iii) There are no "replacement proceeds" (within the meaning of Treas. Reg. §1.148-1(c)) of the Master Agreement, and the Master Agreement will not remain outstanding longer than necessary to accomplish the governmental purposes of the Master Agreement (within the meaning of Treas. Reg. §1.148-10(a)(4)), in that the weighted average maturity of the principal component of the Periodic Payments ( years) is less than 120% of the average reasonably expected economic life of the Equipment (12 years) as set forth on Exhibit 2.1.
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Replacement Proceeds 
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Related to Replacement Proceeds

  • Condemnation Proceeds all Condemnation Proceeds other than proceeds to be applied to the restoration or repair of the property subject to the related Mortgage or released to the related Mortgagor in accordance with the Servicing Standard, which proceeds shall be deposited by the Master Servicer into an Escrow Account and not deposited in the Collection Account;

  • Insurance Proceeds All proceeds of and any unearned premiums on any insurance policies covering the Property, including, without limitation, the right to receive and apply the proceeds of any insurance, judgments, or settlements made in lieu thereof, for damage to the Property;

  • Proceeds The Company shall use the proceeds from the issuance and sale of the Securities as set forth in “Use of Proceeds to issuer” in the Offering Circular.

  • Private Placement Proceeds On the Closing Date, the Company shall cause to be deposited proceeds from the Unit Private Placement into the Trust Account, or such other amount such that the amount of the funds in the Trust Account shall be $10.00 per Public Share sold in the Offering. On the Option Closing Date, if any, the Company shall cause to be deposited an amount of additional proceeds from the additional Placement Units sold on the Option Closing Date into the Trust Account such that the amount of funds in the Trust Account shall be $10.00 per Public Share sold in the Offering.

  • Liquidation Proceeds Cash received in connection with the liquidation of a defaulted Mortgage Loan, whether through the sale or assignment of such Mortgage Loan, trustee’s sale, foreclosure sale, payment in full, discounted payoff or otherwise, or the sale of the related Mortgaged Property if the Mortgaged Property is acquired in satisfaction of the Mortgage Loan, including any amounts remaining in the related Escrow Account.