RUBS Clause Samples
The RUBS (Ratio Utility Billing System) clause establishes a method for allocating utility costs among tenants based on a predetermined formula rather than individual metering. Typically, this system divides expenses such as water, gas, or electricity according to factors like unit size, occupancy, or other fair metrics. By using RUBS, landlords can recover utility costs efficiently when separate meters are not available, ensuring that tenants share utility expenses equitably and reducing disputes over utility charges.
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RUBS. In addition to any other prorations described in this Agreement, any ratio utility billing systems (“RUBS”) applicable to the Property, for the following categories of utilities and other reimbursements: (i) electricity, (ii) gas, (iii) water / sewer, (iv) trash, (v) pest control and (vi) other, attributable to the uncollected or trailing collections two calendar months prior to Closing will be reflected as a credit to Seller at Closing and will be calculated for closing purposes on the uncollected or trailing collections monthly periods based on the monthly average actual trailing RUBS for six months prior to Closing according to the income statements prepared by Seller and provided to Buyer. A subsequent cash adjustment of RUBS between Seller and Buyer will be made when actual figures are available, but in all events within 90 days after the Closing Date. Seller and Buyer each agree to provide such information as the other may reasonably request regarding RUBS and the billing, collection, and payment thereof.
RUBS. Purchaser shall be responsible for the billing and collection of any reimbursable utility charges from the tenants with respect to all periods on and after the Closing Date and any uncollected but not delinquent, reimbursable utility charges from the tenants with respect to all periods prior to the Closing Date and shall credit Seller at Closing for any paid but not yet billed reimbursable utility charges from the tenants with respect to all periods prior to the Closing Date.
RUBS. Purchaser shall be responsible for the billing and collection of any reimbursable utility charges from the tenants with respect to all periods after the Closing Date and any uncollected but not delinquent, reimbursable utility charges from the tenants with respect to all periods prior to the Closing Date and shall credit Seller at Closing for any paid (by Seller) but not yet billed or, with respect to the single most recent billing period prior to Closing for occupied units, billed but not yet collected reimbursable utility charges from the tenants with respect to all periods prior to the Closing Date.
RUBS. Notwithstanding the foregoing, if there is a ratio utility billing system of any kind whatsoever (“RUBS” ) applicable to the Property for any of the following categories of utilities and other reimbursements: (i) electricity, (ii) gas, (iii) water, (iv) sanitary sewer, (v) trash, (vi) pest control or (vii) other reimbursements, then the amount of RUBS attributable to the uncollected or trailing collections of up two (2) calendar months prior to Closing will be reflected as a credit to Seller at Closing and will be calculated for closing purposes on the uncollected or trailing collections monthly periods based on the monthly average actual trailing RUBS for six (6) months prior to Closing according to the income or operating statements provided by Seller to Purchaser. A subsequent cash adjustment of RUBS between Seller and Purchaser will be made when actual figures are available, but in all events within one hundred fifty (150) days after the Closing Date and Seller and Purchaser each agree to provide the other such information as the other may reasonably request regarding RUBS and the billing, collection, and payment thereof.
RUBS. Seller shall receive a credit at Closing for uncollected tenant utility reimbursements (“RUBS”) attributable to the 90-day time period prior to Closing, the calculation of which shall be based on the average of the last three months’ reimbursements actually billed, and such sums shall be subject to re-proration in accordance with the post-Closing re-proration provisions of Paragraph 10.4 below, provided that Buyer shall exercise commercially reasonable efforts to collect all such RUBS reimbursements following the Closing for the purposes of such re-proration.
RUBS. Within ninety (90) days after the Closing Date, all reimbursable utility bills for utility charges incurred by Seller and reimbursable to Seller from the tenants under the Leases for periods prior to Closing (“RUBS”), if received by Buyer, shall be remitted by Buyer to Seller. Thereafter, Buyer shall have no obligation to remit RUBS income to Seller.
RUBS. Purchaser shall be responsible for the billing and collection of any reimbursable utility charges from the tenants with respect to all periods after the Closing Date. During the one hundred twenty (120) day period after the Closing Date, Purchaser shall use commercially reasonable efforts in the ordinary course of Purchaser’s operation of the Property to collect unpaid, reimbursable utility charges from the tenants with respect to all periods prior to the Closing Date and shall promptly pay over such collected sums to Seller. Purchaser’s obligations under this Section shall terminate one hundred twenty (120) days after the Closing.