Ship Covenants Sample Clauses

Ship Covenants. The undertakings in this Clause 20 will become effective on the Delivery Date (unless stated otherwise) and shall remain in force from that date for so long as any amount is outstanding under the Finance Documents or any Commitment is in force.

Ship Covenants. The Borrower hereby covenants with each of the Creditors and undertakes throughout the Security Period that it and/or Lessee and/or the Bareboat Charterer will:

Ship Covenants. The undertakings in this Clause 20 will become effective on the Delivery Date (unless stated otherwise) and shall remain in force from that date for so long as any amount is outstanding under the Finance Documents or any Commitment is in force. 20.1 Ship’s name and registration 20.1.1 The Borrower agrees: (a) not to change the name of the Ship without prior notification to the Agent; and (b) to keep the Ship registered in its name under the laws of an Approved Flag and not to permit its registration under any flag or at any other port without the prior written consent of the Agent and the Lenders. 20.1.2 If the flag State becomes involved in war or civil war or there is a seizure of power in the Flag State by unconstitutional means the Agent may notify the Borrower that it requires the flag and registry of the Vessel to be changed to another Approved Flag whereupon, subject to the consent of the Charterer pursuant to the Charter, the Borrower shall promptly implement such change.

Ship Covenants. The covenants in this Clause 8.4 remain in force for so long as any amount is outstanding under the Finance Documents or any commitment is in force.

Ship Covenants. The Borrower shall (a) maintain the Ship at all times during the Security Period in a good and seaworthy condition and arrange to have any damages to the Ship repaired without delay; (b) if at any time the Market Value of the Ship falls short of 177 per cent. of the Secured Liabilities, promptly upon the Lender’s request either (i) prepay such part of the Loan which is equal to the shortfall, together with prepayment compensation as defined in Clause 15 or (ii) provide such additional ship mortgage or other security in favour of the Lender as is acceptable to the Lender and having a market value which is equal to the shortfall or (iii) effect a combination of (i) and (ii) above; (c) not change the name, registry or flag of the Ship or make any modification to the Ship which would or might materially alter the structure, type or performance characteristics of the Ship or materially reduce the value of the Ship; (d) bear the expense of an annual valuation of the Ship by an independent surveyor acceptable to the Lender; (e) ensure that the Ship remains with class societies acceptable to the Lender including the Classification Society; (f) upon the Lender’s request submit evidence of employment of the Ship; (g) ensure that the Ship shall not trade or embark ports in countries on which trade constraints or other limitations have been imposed; (h) ensure that the commercial and technical management of the Ship shall be carried out by the respective Manager and not effect any changes to the management of the Ship without the Lender’s prior approval; (i) not enter into any charter agreement for the Ship with a term of more than 24 months without the Lender’s prior approval with the exception of charter agreements with companies which are under indirect or direct control of the Beneficial Shareholder; (j) at all times comply, and cause each Manager to comply, with International Safety Management Code (ISM) requirements; (k) notify the Lender forthwith by fax, confirmed by letter, of any occurrence in consequence whereof the Ship has become or is, by the passing of time or otherwise, likely to become a Total Loss; (l) ensure that the next Special Survey is not due before 30 June 2012.

Ship Covenants. The Borrower hereby covenants with the Bank and undertakes, in relation to the Ship, on and from the Delivery Date throughout the Security Period: 8.5.1 Insurance (a) Insured risks, amounts and terms to insure and keep the Ship insured through an Approved Insurer free of cost and expense to the Bank and in the name of the Borrower (but, in the case of the insurances referred to in sub-paragraphs (i) and (ii) below, no other person, save with the prior written consent of the Bank and (ii) subject to such person having to the satisfaction of the Bank, executed a deed of assignment in favour of the Bank of such person’s interest in the Insurances of the Ship on similar terms to the assignment by the names of the Borrower and the Bank (but without liability on the part of the Bank for premiums or calls): (i) against fire and usual marine risks (including excess risks, blocking and trapping) and war risks, on an agreed value basis, in such amounts in Dollars (but not in any event less than whichever shall be the greater of (1) the market value of the Ship for the time being and (2) such amount as will be at least equal to 120% of the Loan and upon such terms as shall from time to time be approved in writing by the Bank; (ii) against protection and indemnity risks (including pollution risks for the highest amount in respect of which cover is or may become available for ships of the same type, size, age and flag as the Ship (currently $1,000,000,000) and a freight, demurrage and defence cover by entry of such Ship with a P&I Club which is a member of either the “International Group” of protection and indemnity associations or any successor organization as agreed with the Bank for this purpose for the full value and tonnage of such Ship and upon such terms as shall from time to time be approved in writing by the Bank; (iii) in respect of such other matters of whatsoever nature and howsoever arising in respect of which insurance would be maintained by a prudent owner of the Ship; to pay to the Bank the cost (as conclusively certified by the Bank) of:

Ship Covenants