Common use of Adjustment of Guarantee Amount Clause in Contracts

Adjustment of Guarantee Amount. 12.2.1 On each anniversary of the date of the Guarantee (the Guarantee Adjustment Date), the Guarantee Amount is to be adjusted to a revised amount by applying the following formula: where: (a) before the date of the Guarantee for the first Guarantee Adjustment Date; and (b) before the preceding Guarantee Adjustment Date for every subsequent Guarantee Adjustment Date 12.2.2 If after the formula is applied under clause 12.2.1 the revised Guarantee Amount will be less than the amount held at the preceding Guarantee Adjustment Date, the Guarantee Amount will not be adjusted. 12.2.3 If after the formula is applied clause 12.2.1 the revised Guarantee Amount will be greater than the amount held at the preceding Guarantee Adjustment Date, the Developer must within 10 Business Days of the Guarantee Adjustment Date deliver to Council a replacement Guarantee to replace the Guarantee then held by Council, in the amount calculated under this clause 12.2. 12.2.4 Any unused portion of the Guarantee that is held by Council immediately prior to the receipt by Council of the replacement Guarantee under clause 12.2.3 must be returned to the Developer upon receipt of the replacement Guarantee.

Adjustment of Guarantee Amount. 12.2.1 7.2.1 On each anniversary of the date of the Guarantee (the Guarantee “Adjustment Date”), the Guarantee Amount is to be adjusted to a revised amount by applying the following formula: where: (ai) before the date of the Guarantee for the first Guarantee Adjustment Date; and (bii) before the preceding Guarantee Adjustment Date for every subsequent Guarantee Adjustment Date 12.2.2 7.2.2 If after the formula is applied under clause 12.2.1 7.2.1 the revised Guarantee Amount will be less than the amount held at the preceding Guarantee Adjustment Date, the Guarantee Amount will not be adjusted. 12.2.3 7.2.3 If after the formula is applied clause 12.2.1 7.2.1 the revised Guarantee Amount will be greater than the amount held at the preceding Guarantee Adjustment Date, the Developer must within 10 Business Days of the Guarantee Adjustment Date deliver to Council Council’s Representative a replacement Guarantee to replace the Guarantee then held by Council, in the amount calculated under this clause 12.27.2. 12.2.4 7.2.4 Any unused portion of the Guarantee that is held by Council immediately prior to the receipt by Council Council’s Representative of the replacement Guarantee under clause 12.2.3 7.2.3 must be returned to the Developer upon receipt of the replacement Guarantee.