Common use of Timely Payments Clause in Contracts

Timely Payments. Insurer will transmit orders for purchases and redemptions of Fund shares to Distributor, and will wire payment for net purchases to a custodial account designated by the Fund on the day the order for Fund shares is placed, to the extent practicable. Payment for shares purchased shall be made in federal funds transmitted by wire by 2:00 p.m. New York time as long as the banking system is open for business. If the banking system is closed, payment will be transmitted the next day that the banking system is open for business. If payment is received by the Fund after 2:00 p.m. New York time on such Business Day, Insurer shall, upon the Fund's request, promptly reimburse the Fund for any charges, costs, fees, interest or other expenses incurred in connection with any advances, borrowing, or overdrafts. The Fund will confirm receipt of each purchase (using a mutually agreed upon format) by 1:00 p.m. New York time on the Business Day the trade is placed. Payment for net redemptions will be wired by the Fund to an account designated by Insurer on the same day as the order is placed, to the extent practicable. The Fund agrees to redeem, upon Insurer's request, any full or fractional shares of the designated Portfolio held by Insurer. Payment for shares redeemed shall be made in federal funds transmitted by wire by 2:00 p.m. New York time as long as the banking system is open for business. If the banking system is closed, payment will be transmitted the next day that the banking system is open for business. If payment is received by Insurer after 2:00 p.m. New York time on such Business Day, the Fund shall, upon the Insurer's request, promptly reimburse Insurer for any charges, costs, fees, interest or other expenses incurred in connection with any advances, borrowing, or overdrafts. The Fund will confirm receipt of each redemption (using a mutually agreed upon format) by 1:00 p.m. New York time on the Business Day the trade is placed. In any event payment will be made within six calendar days after the date the order is placed in order to enable Insurer to pay redemption proceeds within the time specified in Section 22(e) of the Investment Company Act of 1940, as amended (the "1940 Act").