Settlement simultaneous Clause Samples
The 'Settlement simultaneous' clause requires that all parties involved in a transaction complete their respective settlement obligations at the same time. In practice, this means that the transfer of funds, delivery of goods, or exchange of documents must occur concurrently, so that no party is required to perform their part before the others. This clause is commonly used in real estate closings or securities transactions to ensure that neither party is exposed to undue risk by performing first. Its core function is to protect all parties by ensuring fairness and reducing the risk of non-performance or default during settlement.
Settlement simultaneous. (a) Subject to clause 6.6(b), the actions to take place under this clause 6 are interdependent and must take place, as nearly as possible, simultaneously. If one action does not take place, then without prejudice to any rights available to any Party as a consequence:
(i) there is no obligation on any Party to undertake or perform any of the other actions;
(ii) to the extent that such actions have already been undertaken, the Parties must do everything reasonably required to reverse those actions; and
(iii) each Party must return to the other all documents delivered to it under this clause 6, and must each repay to the other all payments received by it under this clause 6, without prejudice to any other rights any Party may have in respect of that failure.
(b) The Purchaser may, in its sole discretion, waive any or all of the actions that the Vendor are required to perform under clause 6.2.