Common use of Sanction Program Clause in Contracts

Sanction Program. Each Borrower guarantees and undertakes as follows: (a) the Borrowers or any company that directly or indirectly belongs to the Borrowers is not subject to any UN, US, EU, or any other sanctions regime regarding in particular, but not exclusively, economic sanctions against Iran ("Sanction Program"); (b) the Borrowers will not transport any goods with the Vessels, that are prohibited to be sold, supplied, transferred, purchased, exported or imported under any Sanction Program; (c) neither Vessel will be sold, chartered, leased or otherwise provided directly or indirectly by the Borrowers to any person or company which is prohibited to contract under any Sanction Program; (d) neither Vessel will be sold, chartered, leased or otherwise provided directly or indirectly by the Borrowers to any person or company which is prohibited to contract under any Sanction Program if there is any indication that such person or company is dealing with goods that are prohibited to be sold, supplied, transferred, purchased, exported or imported under any Sanction Program, or has business contacts with a person or company which is dealing with such goods; (e) if a Borrower finds out that its Vessel, without that Borrower’s knowledge, has been sold, chartered, conferred, leased or otherwise provided directly or indirectly to any person or company which is prohibited to contract under any Sanction Program, or which is dealing with goods that are prohibited to be sold, supplied, transferred, purchased, exported or imported under any Sanction Program or for which there is any indication that it has business contacts with a person or company which is dealing with such goods, the Borrower shall terminate as soon as possible and at the latest after thirty (30) days the relationship with the prohibited person or company under the premise that the Finance Parties would commit a breach of law by this behaviour. In this case the Borrower will also inform the Finance Parties immediately; (f) neither Vessel will be chartered, conferred, leased or otherwise provided directly or indirectly by the Borrowers to any charterer or other third person or company for which there is any indication that such person or company carries out business with a person or company that is prohibited to contract under any Sanction Program, or has business contacts with such a person or company that is prohibited to contract under any Sanction Program; (g) neither Vessel will be chartered, conferred, leased or otherwise provided directly or indirectly by the Borrowers to any charterer or other third person or company, if there is any indication that such charterer, person or company carries out business with a person or company dealing with goods that are prohibited to be sold, supplied, transferred, purchased, exported or imported under any Sanction Program, or has business contacts to a person or company dealing with such goods; (h) if a Borrower finds out that its Vessel, without the Borrowers' knowledge, has been chartered, conferred, leased or otherwise provided directly or indirectly by the Borrowers to any charterer or other third person for which there is any indication that the charterer or other third person carries out business with any person or company which is prohibited to contract, or deals with goods that are prohibited to be sold, supplied, transferred, purchased, exported or imported, under any Sanction Program, that Borrower shall immediately interrupt the relationship with this charterer or third person under the premise that the Finance Parties would commit a breach of law by this behaviour. In this case the Borrowers will also inform the Finance Parties immediately; (i) if a Borrower charters its Vessel out to a charterer or sells or provides that Vessel to any other third person or company, that Borrower, upon request from the Finance Parties, shall provide evidence to the Finance Parties regarding the identification of the charterer, the purchaser, the person or company to whom the Vessel in question is provided, and the ultimate beneficial owner; (j) each Borrower agrees to provide the Finance Parties upon their request with all relevant documentation related to its Vessel, the contract partners of that Borrower’s and the transported goods to prove that that Borrower acts within any Sanction Program; and (k) each Borrower undertakes to make all charterers and operators of its Vessel aware of the requirements of this compliance with laws clause and shall procure that they act in accordance with the requirements contained in this Clause 12.5.