Common use of AGREEMENT AUTHORITY Clause in Contracts

AGREEMENT AUTHORITY. 5.1. The Parties are authorized to meet together, discuss, reach agreement and take all actions deemed necessary or appropriate by the Parties to implement or effectuate any agreement regarding sharing of vessels, chartering or exchange of space, and related coordination and cooperative activities pertaining to their operations and services, and related equipment, vessels and facilities in the Trade. It is initially contemplated that the Parties will deploy a total of three (3) vessels, each with an approximate capacity of 400 TEUs, on two services referred to as the AUSPAC and SOUTHPAC services (collectively, the “Services”). The AUSPAC service begins and ends in Australia with calls in New Caledonia, Vanuatu, Fiji, American Samoa, Samoa, and Tonga. The SOUTHPAC service begins and ends in New Zealand with calls in American Samoa, Samoa, and Tonga. NPL and PFL will operate one (1) vessel each on the AUSPAC service, and PDL NPDL will operate one (1) vessel on the SOUTHAPC service. The Parties may modify their deployment on the Services to between two (2) and six (6) total vessels and the TEU capacities of these vessels by up to fifty percent without amendment to this Agreement. discuss and agree upon cash flow procedures, share net losses and/or divide the net income from the pool among themselves pursuant to formulas and with such frequency as they may agree from time to time.