Bonded Contracts definition
Examples of Bonded Contracts in a sentence
Indemnitors hereby undertake the duty to notify Surety at the earliest practicable moment of: (i) any material change in the terms or provisions of any of the Bonded Contracts that would materially and adversely affect Surety; and (ii) any material change in any representation made in this Agreement or in any other document or provided to Surety in connection with its obligations of suretyship that would materially and adversely affect Surety.
Such funds may be advanced or guaranteed at any time, whether before or after default of such Indemnitor under the Bonded Contracts.
In addition to the other remedies provided herein, at the request of any Indemnitor, Surety is authorized and empowered, but is not obligated to advance or loan money or guarantee loans to any Indemnitors as Surety may see fit for the purpose of completing performance of any of the Bonded Contracts, or for the purpose of meeting operational expenses or paying other obligations, bonded or unbonded.
Indemnitors agree and expressly declare that all funds due or to become due under the Bonded Contracts are trust funds, whether in possession of Indemnitors or another, for the benefit and the payment of all Persons to whom Indemnitors incur obligations in the performance of the Bonded Contracts, for which Surety is or may be liable under the Bonds.
Schedule 5.33 sets forth all Bonded Contracts entered into by any Loan Party.
At such time as (y) Surety Loss has been paid and satisfied in full and Surety has no outstanding and unfilled obligations under the Bonded Contracts or any Bonds issued in relation thereto, or (z) Surety Loss has been cash collateralized (or secured by a letter of credit, in form and from a financial institution acceptable to Surety in its sole and absolute discretion) to the satisfaction of Surety, in its sole and absolute discretion, this Section 4(a) will be of no force and effect.
In the event Surety elects to perform any of the Bonded Contracts, or cause any duly licensed third party to perform any of the Bonded Contracts, then Surety hereby agrees in favor of Lender Parties to use all reasonable efforts in order to perform, or cause any such duly licensed third party to perform, its obligations under such related Bonds in a timely and cost effective manner.
Lender Agent hereby recognizes Surety’s right to use, at no cost to Surety, the Licensed Property, subject to the terms of the license, and agrees that any action taken by Lender Agent with respect to the Licensed Property will be subject to all of the rights of Surety to use the Licensed Property to complete the Bonded Contracts in accordance with the terms of the license.
Principal agrees to first use any Bonded Contract Balances generated by Bonded Contracts to pay valid labor, materials, and any other costs or expenses incurred when due in connection with the performance of the Bonded Contracts.
Upon the occurrence of any Event of Default, in addition to other remedies provided therein, Surety is authorized and empowered, but is not obligated to take over performance of the Work under any Bonded Contracts and at the expense of Indemnitors to complete or to contract for the completion of the same, or to consent to the reletting of the completion thereof by, or to take such other steps as in the discretion of Surety may be advisable or necessary to obtain its release or to avoid Surety Loss.