Severe Decline in Enplanements Sample Clauses
The 'Severe Decline in Enplanements' clause defines the rights and obligations of parties in the event that the number of passengers boarding flights at a particular airport drops significantly below expected levels. Typically, this clause sets a specific threshold or percentage decrease in enplanements that, if met or exceeded, triggers certain actions such as renegotiation of terms, suspension of obligations, or even termination of the agreement. Its core practical function is to protect parties from unforeseen and substantial drops in airport traffic, thereby allocating risk and providing a mechanism to address major disruptions in passenger volume.
Severe Decline in Enplanements. If at any time during the Term there is a severe decline in enplanements for three (3) consecutive months, as compared to same time period in the previous year, then Tenant shall provide notice to the Airport Director, and at the Airport Director’s discretion and upon approval of the Board of Supervisors, Concession Space Rent may be temporarily suspended or reduced. The Airport Director shall have the sole discretion as to whether there exists a severe decline in enplanements.
Severe Decline in Enplanements. If at any time during the Term there is a severe decline in enplanements for three (3) consecutive months, as compared to same time period in the previous year, then Tenant shall provide notice to the Airport Director, and at the Airport Director’s discretion and upon approval of the Board of Supervisors, Concession Space Rent may be temporarily suspended or reduced. The Airport Director shall have the sole discretion as to whether there exists a severe decline in enplanements. DocuSign Envelope ID: C3FE23DB-91BD-434E-8B72-DA0A11B2473D
Severe Decline in Enplanements. In the event the number of enplaning passengers departing at the Airport on regularly schedule flights during three consecutive calendar months is less than eighty percent (80%) of the number of such enplaning passengers during the same calendar months of the immediate prior year, the parties may hereby agree to negotiate in good faith and attempt to resolve the rent obligations to make appropriate adjustments to Privilege Fees as defined in Article 5. Upon agreement of modified Privilege Fees, a formal amendment to the Agreement will be executed memorializing said changes.
Severe Decline in Enplanements