Common use of Cancellation Charge Clause in Contracts

Cancellation Charge. After a Service ------------------- Quote is accepted by GTE, Customer may cancel all or a portion of the Services described therein if Customer provides written notification thereof to GTE at least 60 days prior to the effective date of cancellation. In such case, Customer shall pay to GTE all charges for Service provided through the effective date of such cancellation plus a cancellation charge determined as follows: (i) if such cancellation becomes effective prior to completion of the first year of the initial term, then the cancellation charge shall be an amount equal to the balance of the monthly charges for Service (then in effect at the time of cancellation) for such canceled Service that otherwise would have become due for the unexpired portion of the first year of such term plus fifty percent (50%) of the balance of such monthly charges for Service for the remainder of such term beyond the first year; (ii) if cancellation becomes effective after completion of the first year of the initial term, before any renewal of this Agreement occurs, then the cancellation charge shall be an amount equal to fifty percent (50%) of the balance of the monthly charges for Service (then in effect at the time of cancellation) for such canceled Service that otherwise would have become due for the unexpired portion of the initial term; and (iii) if such cancellation becomes effective prior to completion of any renewal term, then the cancellation charge shall be an amount equal to the balance of the monthly charges for Service (then in effect at the time of cancellation) for such canceled Service that otherwise would have become due for the unexpired portion of the renewal term. In the event monthly charges for Service are not fixed, monthly charges for Service shall be the average charges for usage of Services over the three calendar months prior to GTE's receipt of notice of cancellation.

Cancellation Charge. A. After a Service ------------------- Quote this Agreement is accepted by GTEWorldCom, Customer may cancel all or a portion of the Services described therein Service if Customer provides written notification thereof to GTE at least 60 WorldCom thirty (30) days prior to in advance of the effective date of cancellation. In such case, Customer shall pay to GTE WorldCom all charges for Service described herein provided through the effective date of such cancellation plus a cancellation charge determined as follows: (i) if such cancellation becomes effective prior to completion of the first Term is one (1) year of the initial termor less, then the cancellation charge shall be an amount equal to the balance of the monthly recurring charges (then in effect at the time of cancellation) for such canceled Service that otherwise would have become due for the unexpired balance of the Term (but in no event less than zero); (ii) if the Term is longer than one (1) year and such cancellation becomes effective prior to completion of the first year of the Term, then the cancellation charge shall be an amount equal to the balance of the monthly recurring charges (then in effect at the time of cancellation) for such canceled Service that otherwise would have become due for the unexpired portion of the first year of such term the Term plus fifty eighty-five percent (5085%) of the balance of such monthly recurring charges for Service for the remainder of such term the Term beyond the first year; and, (iiiii) if the Term for the canceled Service is longer than one (1) year and such cancellation becomes effective after completion of the first year of the initial term, before any renewal of this Agreement occursTerm, then the cancellation charge shall be an amount equal to fifty seventy-five percent (5075%) of the balance of the monthly recurring charges for Service (then in effect at the time of cancellation) for such canceled Service that otherwise would have become due for the unexpired portion of the initial term; and (iii) if such cancellation becomes effective prior to completion of any renewal term, then the cancellation charge shall be an amount equal to the balance of the monthly charges for Service (then Term. It is agreed that WorldCom's damages in effect at the time of cancellation) for such canceled Service that otherwise would have become due for the unexpired portion of the renewal term. In the event monthly charges for Service are not fixed, monthly charges for Customer cancels Service shall be difficult or impossible to ascertain. The aforementioned provision for a cancellation charge is intended to establish liquidated damages in the average charges for usage event of Services over the three calendar months prior to GTE's receipt of notice of cancellationa cancellation and is not intended as a penalty.