Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition. 10.2 Assurance of payment may be requested by AT&T-21STATE: 10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or 10.2.2 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or 10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or 10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding. 10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff. 10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of: 10.4.1 a Cash Deposit; or 10.4.2 a Letter of Credit; or 10.4.3 a Surety Bond. 10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information. 10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction. 10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond. 10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events: 10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or 10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or 10.8.3 The expiration or termination of this Agreement. 10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 19 contracts
Samples: Telecommunications, Telecommunications, Telecommunications
Assurance of Payment. 10.1 Upon request by AT&T-21STATEAT&T-22STATE, CLEC will provide AT&T-21STATE AT&T-22STATE with the AT&T-21STATE AT&T-22STATE Credit Profile form and provide information to AT&T-21STATE AT&T-22STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATEAT&T-22STATE:
10.2.1 If based on AT&T-21STATEAT&T-22STATE’s analysis of the AT&T-21STATE AT&T-22STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill xxxx rendered to CLEC by AT&T-21STATE AT&T-22STATE (except such portion of a bill xxxx that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE AT&T-22STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 15 contracts
Samples: Telecommunications, Telecommunications, Telecommunications
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 10 contracts
Samples: Wholesale Agreement, Wholesale Agreement, Wholesale Agreement
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of SectionSection 10.4 above.
10.10 Notwithstanding anything else set forth in this Agreement, if AT&T-21STATE makes a request for assurance of payment in accordance with the terms of this Section 10.0 then AT&T-21STATE shall have no obligation thereafter to perform under this Agreement until such time as CLEC has furnished AT&T-21STATE with the assurance of payment requested; provided, however, that AT&T-21STATE will permit CLEC a minimum of fifteen (15) calendar days to respond to a request for assurance of payment before invoking this Section 10.0.
10.11 In the event CLEC fails to provide AT&T-21STATE with a suitable form of security deposit or additional security deposit as required herein, defaults on its account(s), or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time required, service to CLEC may be suspended, discontinued or terminated in accordance with the terms of Section 12.0 below. Upon termination of services, AT&T-21STATE shall apply any security deposit to CLEC’s final bill for its account(s). If CLEC fails to furnish the requested adequate assurance of payment on or before the date set forth in the request, AT&T-21STATE may also invoke the provisions set forth in Section 12.0 below.
10.12 A Cash Deposit held by AT&T-21STATE shall be returned to CLEC if the following conditions have been met:
10.12.1 Payment was made on bills rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below) as of the Bill Due Date for all but one time during the prior twelve (12) month period and all payments were made with checks that were honored; and
10.12.2 There has been no impairment of the established credit and/or financial health from information available from financial sources, including but not limited to Moody’s, Standard and Poor’s, and the Wall Street Journal. Financial information about CLEC that may be considered includes, but is not limited to, investor warning briefs, rating downgrades, and articles discussing pending credit problems.
10.13 The fact that a Cash Deposit or Letter of Credit is requested by AT&T-21STATE shall in no way relieve CLEC from timely compliance with all payment obligations under this Agreement (including, but not limited to, recurring, non- recurring and usage sensitive charges, termination charges and advance payments), nor does it constitute a waiver or modification of the terms of this Agreement pertaining to disconnection or re-entry for non-payment of any amounts required to be paid hereunder.
10.14 At least seven (7) calendar days prior to the expiration of any Letter of Credit provided by CLEC as security under this Agreement, CLEC shall renew such Letter of Credit or provide AT&T-21STATE with evidence that CLEC has obtained a suitable replacement for the Letter of Credit. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to draw down the full amount of such Letter of Credit and utilize the cash proceeds as security for CLEC accounts(s). If CLEC provides a security deposit or additional security deposit in the form of a Surety Bond as required herein, CLEC shall renew the Surety Bond or provide AT&T-21STATE with evidence that CLEC has obtained a suitable replacement for the Surety Bond at least seven (7) calendar days prior to the cancellation date of the Surety Bond. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for CLEC’s account(s). If the credit rating of any bonding company that has provided CLEC with a Surety Bond provided as security hereunder has fallen below “B”, AT&T-21STATE will provide written Notice to CLEC that CLEC must provide a replacement bond or other suitable security within fifteen (15) calendar days of AT&T-21STATE’s written Notice. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for CLEC’s account(s). Notwithstanding anything contained in this Agreement to the contrary, AT&T-21STATE shall be authorized to draw down the full amount of any Letter of Credit or take action on any Surety Bond provided by CLEC as security hereunder if CLEC defaults on its account(s) or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time, as required herein.
Appears in 10 contracts
Samples: Wholesale Agreement, Wholesale Agreement, Wholesale Agreement
Assurance of Payment. 10.1 Upon request by AT&T-21STATEAT&T-22STATE, CLEC will provide AT&T-21STATE AT&T-22STATE with the AT&T-21STATE AT&T-22STATE Credit Profile form and provide information to AT&T-21STATE AT&T-22STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATEAT&T-22STATE:
10.2.1 If based on AT&T-21STATEAT&T-22STATE’s analysis of the AT&T-21STATE AT&T-22STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE AT&T-22STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE AT&T-22STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 8 contracts
Samples: Telecommunications, Telecommunications, Telecommunications
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill xxxx rendered to CLEC by AT&T-21STATE (except such portion of a bill xxxx that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 7 contracts
Samples: Interconnection Agreement, Telecommunications, Telecommunications
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill xxxx rendered to CLEC by AT&T-21STATE (except such portion of a bill xxxx that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of SectionSection 10.4 above.
10.10 Notwithstanding anything else set forth in this Agreement, if AT&T-21STATE makes a request for assurance of payment in accordance with the terms of this Section 10.0 then AT&T-21STATE shall have no obligation thereafter to perform under this Agreement until such time as CLEC has furnished AT&T-21STATE with the assurance of payment requested; provided, however, that AT&T-21STATE will permit CLEC a minimum of fifteen (15) calendar days to respond to a request for assurance of payment before invoking this Section 10.0.
10.11 In the event CLEC fails to provide AT&T-21STATE with a suitable form of security deposit or additional security deposit as required herein, defaults on its account(s), or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time required, service to CLEC may be suspended, discontinued or terminated in accordance with the terms of Section 12.0 below. Upon termination of services, AT&T-21STATE shall apply any security deposit to CLEC’s final xxxx for its account(s). If CLEC fails to furnish the requested adequate assurance of payment on or before the date set forth in the request, AT&T-21STATE may also invoke the provisions set forth in Section 12.0 below.
10.12 A Cash Deposit held by AT&T-21STATE shall be returned to CLEC if the following conditions have been met:
10.12.1 Payment was made on bills rendered to CLEC by AT&T-21STATE (except such portion of a xxxx that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below) as of the Xxxx Due Date for all but one time during the prior twelve (12) month period and all payments were made with checks that were honored; and
10.12.2 There has been no impairment of the established credit and/or financial health from information available from financial sources, including but not limited to Moody’s, Standard and Poor’s, and the Wall Street Journal. Financial information about CLEC that may be considered includes, but is not limited to, investor warning briefs, rating downgrades, and articles discussing pending credit problems.
10.13 The fact that a Cash Deposit or Letter of Credit is requested by AT&T-21STATE shall in no way relieve CLEC from timely compliance with all payment obligations under this Agreement (including, but not limited to, recurring, non- recurring and usage sensitive charges, termination charges and advance payments), nor does it constitute a waiver or modification of the terms of this Agreement pertaining to disconnection or re-entry for non-payment of any amounts required to be paid hereunder.
10.14 At least seven (7) calendar days prior to the expiration of any Letter of Credit provided by CLEC as security under this Agreement, CLEC shall renew such Letter of Credit or provide AT&T-21STATE with evidence that CLEC has obtained a suitable replacement for the Letter of Credit. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to draw down the full amount of such Letter of Credit and utilize the cash proceeds as security for CLEC accounts(s). If CLEC provides a security deposit or additional security deposit in the form of a Surety Bond as required herein, CLEC shall renew the Surety Bond or provide AT&T-21STATE with evidence that CLEC has obtained a suitable replacement for the Surety Bond at least seven (7) calendar days prior to the cancellation date of the Surety Bond. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for CLEC’s account(s). If the credit rating of any bonding company that has provided CLEC with a Surety Bond provided as security hereunder has fallen below “B”, AT&T-21STATE will provide written Notice to CLEC that CLEC must provide a replacement bond or other suitable security within fifteen (15) calendar days of AT&T-21STATE’s written Notice. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for CLEC’s account(s). Notwithstanding anything contained in this Agreement to the contrary, AT&T-21STATE shall be authorized to draw down the full amount of any Letter of Credit or take action on any Surety Bond provided by CLEC as security hereunder if CLEC defaults on its account(s) or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time, as required herein.
Appears in 7 contracts
Samples: Interconnection Agreement, Telecommunications, Telecommunications
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill xxxx rendered to CLEC by AT&T-21STATE (except such portion of a bill xxxx that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 4 contracts
Samples: Telecommunications, Telecommunications, Telecommunications
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC 9.1 WSP will provide AT&T-21STATE with the completed AT&T-21STATE Credit Profile Application form and provide information to AT&T-21STATE regarding CLECWSP’s credit and financial condition.
10.2 9.2 Assurance of payment Payment may be requested by AT&T-21STATEAT&T-21STATE when:
10.2.1 If 9.2.1 WSP has no established credit history with AT&T or WSP’s credit, financial condition, or credit worthiness is impaired as reasonably determined by AT&T-21STATE based on AT&T-21STATE’s its analysis of the AT&T-21STATE Credit Profile Application and other relevant information from WSP or Third Party financial sources regarding CLECWSP’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC 9.2.2 WSP fails to pay timely pay a bill rendered to CLEC WSP by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC WSP has complied with all requirements set forth in Section 12.4 11.4 below); and/oror
10.2.3 CLEC9.2.3 WSP’s gross monthly billing has increased. In such instance, AT&T-21STATE reserves the right to request additional security Assurance of Payment (or to require a security deposit an Assurance of Payment if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLECWSP’s “accounts receivables and proceeds”; or
10.2.4 When CLEC 9.2.4 WSP admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 9.3 If AT&T-21STATE requires CLEC WSP to provide a security depositan Assurance of Payment, CLEC WSP shall provide such security deposit Assurance of Payment prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit Assurance of Payment request notices Notices will be sent to CLEC WSP via certified mail or overnight delivery. Such notice Notice period will start the day after the deposit request notice Assurance of Payment Notice is rendered sent by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 9.4 Unless otherwise agreed by the Parties, the assurance Assurance of payment Payment will consist of:
10.4.1 9.4.1 a Cash Deposit; or
10.4.2 9.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 3 contracts
Samples: Peering Agreement, Wholesale Agreement, Telecommunications
Assurance of Payment. 10.1 3.1 Upon request by AT&T-21STATEAT&T ARKANSAS, CLEC will provide AT&T-21STATE AT&T ARKANSAS with the AT&T-21STATE Credit Profile form and provide information adequate assurance of payment of amounts due (or to AT&T-21STATE regarding CLEC’s credit and financial conditionbecome due) to AT&T ARKANSAS.
10.2 3.2 Assurance of payment may be requested by AT&T-21STATEAT&T ARKANSAS if:
10.2.1 If based on AT&T-21STATE’s analysis 3.2.1 at the Effective Date CLEC had not already established satisfactory credit by having made a least twelve (12) consecutive months of timely payments to AT&T ARKANSAS for charges incurred as a CLEC.
3.2.2 in AT&T ARKANSAS’ reasonable judgment, at the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial conditionEffective Date or at any time thereafter, there is has been an impairment of the established credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources, including but not limited to Moody's, Standard and Poor's, and the Wall Street Journal. Financial information about CLEC that may be considered includes, but is not limited to, investor warning briefs, rating downgrades, and articles discussing pending credit problems; or
10.2.2 3.2.3 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE AT&T ARKANSAS (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below13.4); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When 3.2.4 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 3.3 Unless otherwise agreed by the Parties, the assurance of payment will will, at AT&T ARKANSAS’ option, consist of:
10.4.1 3.3.1 a cash security deposit in U.S. dollars held by AT&T ARKANSAS (“Cash Deposit; ”) or
10.4.2 3.3.2 an unconditional, irrevocable standby bank letter of credit from a financial institution acceptable to AT&T ARKANSAS naming AT&T ARKANSAS as the beneficiary thereof and otherwise in form and substance satisfactory to AT&T ARKANSAS (“Letter of Credit; or
10.4.3 a Surety Bond”).
10.5 3.4 The Cash Deposit, Deposit or Letter of Credit or Surety Bond must be in an amount up equal to three two (32) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATEAT&T ARKANSAS, for the Interconnection Interconnection, Resale Services, 251(c)(3) UNEsunbundled Network Elements, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE AT&T ARKANSAS under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 3.5 To the extent that AT&T-21STATE AT&T ARKANSAS elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a 3.6 A Cash Deposit shall will accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE simple interest, however, AT&T ARKANSAS will not pay interest on a Letter of Credit or a Surety BondCredit.
10.8 AT&T-21STATE 3.7 AT&T ARKANSAS may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 3.7.1 CLEC owes AT&T-21STATE AT&T ARKANSAS undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 3.7.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 3.7.3 The expiration or termination of this Agreement.
10.9 3.8 If AT&T-21STATE AT&T ARKANSAS draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATEAT&T ARKANSAS, CLEC will provide a replacement or supplemental Letter letter of Credit, Surety Bond credit or Cash Deposit cash deposit conforming to the requirements of Section 3.3.
3.9 Notwithstanding anything else set forth in this Agreement, if AT&T ARKANSAS makes a request for assurance of payment in accordance with the terms of this Section, then AT&T ARKANSAS shall have no obligation thereafter to perform under this Agreement until such time as CLEC has furnished AT&T ARKANSAS with the assurance of payment requested; provided, however, that AT&T ARKANSAS will permit CLEC a minimum of ten (10) Business Days to respond to a request for assurance of payment before invoking this Section.
3.9.1 If CLEC fails to furnish the requested adequate assurance of payment on or before the date set forth in the request, AT&T ARKANSAS may also invoke the provisions set forth in Section 14.
3.10 The fact that a Cash Deposit or Letter of Credit is requested by AT&T ARKANSAS shall in no way relieve CLEC from timely compliance with all payment obligations under this Agreement (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), nor does it constitute a waiver or modification of the terms of this Agreement pertaining to disconnection or re-entry for non-payment of any amounts required to be paid hereunder.
Appears in 3 contracts
Samples: Interconnection Agreement, Interconnection Agreement, Interconnection Agreement
Assurance of Payment. 10.1 7.1 Upon request by AT&T-21STATESBC-13STATE, CLEC will provide AT&T-21STATE SBC-13STATE with the AT&T-21STATE Credit Profile form and provide information adequate assurance of payment of amounts due (or to AT&T-21STATE regarding CLEC’s credit and financial conditionbecome due) to SBC-13STATE.
10.2 7.2 Assurance of payment may be requested by AT&T-21STATESBC-12STATE if:
10.2.1 If based on AT&T-21STATE7.2.1 at the Effective Date CLEC had not already established satisfactory credit by having made at least twelve (12) consecutive months of timely payments to SBC-13STATE for charges incurred as a CLEC; or
7.2.2 in SBC-12STATE’s analysis of reasonable judgment, at the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial conditionEffective Date or at any time thereafter, there is has been an impairment of the established credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources, including but not limited to Xxxxx'x, Standard and Poor's, and the Wall Street Journal. Financial information about CLEC that may be considered includes, but is not limited to, investor warning briefs, rating downgrades, and articles discussing pending credit problems; or
10.2.2 7.2.3 CLEC fails to timely pay a bill xxxx rendered to CLEC by AT&T-21STATE SBC-12STATE (except such portion of a bill xxxx that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below9.3); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When 7.2.4 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 7.3 Unless otherwise agreed by the Parties, the assurance of payment will will, at SBC-12STATE’s option, consist of:
10.4.1 7.3.1 a cash security deposit in U.S. dollars held by SBC-12STATE (“Cash Deposit; ”) or
10.4.2 7.3.2 an unconditional, irrevocable standby bank letter of credit from a financial institution acceptable to SBC-12STATE naming the SBC owned ILEC(s) designated by SBC-12STATE as the beneficiary(ies) thereof and otherwise in form and substance satisfactory to SBC-12STATE (“Letter of Credit; or
10.4.3 a Surety Bond”).
10.5 7.3.3 The Cash Deposit, Deposit or Letter of Credit or Surety Bond must be in an amount up equal to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATESBC-12STATE, for the Interconnection Interconnection, Resale Services, 251(c)(3) UNEsNetwork Elements, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE SBC-12STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average .
7.3.3.1 Notwithstanding anything else set forth in this Agreement, SBC SOUTHWEST REGION 5- STATE will not request assurance of the previous six payment of charges reasonably anticipated by SBC SOUTHWEST REGION 5-STATE to be incurred in Arkansas in an amount that would exceed one (61) month’s projected xxxx for CLEC’s initial market entry; provided, however, that after three (3) months current xxxxxxxxof operation, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that SBC SOUTHWEST REGION 5-STATE may request assurance of payment of charges reasonably anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service by SBC SOUTHWEST REGION 5- STATE to be received during the next six (6) months will be materially higher or lower than received incurred in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant informationArkansas in an amount not to exceed two times projected average monthly billing to CLEC.
10.6 7.3.3.2 Notwithstanding anything else set forth in this Agreement, SBC SOUTHWEST REGION 5- STATE will not request assurance of payment of charges reasonably anticipated by SBC
7.4 To the extent that AT&T-21STATE SBC-12STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 7.5 A Cash Deposit will accrue interest at the rate of six percent (6%) simple interest per annum. Interest will accrue on a Cash Deposit shall accrue and be applied from the day after it is received by SBC-12STATE through the day immediately prior to the date the Cash Deposit is credited to XXXX’x xxxx(s) or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariffreturned to CLEC. AT&T-21STATE SBC-12STATE will not pay interest on a Letter of Credit or a Surety BondCredit.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 3 contracts
Samples: Interconnection Agreement, Interconnection Agreement, Interconnection Agreement
Assurance of Payment. 10.1 7.1 Upon request by AT&T-21STATESBC-13STATE, CLEC will provide AT&T-21STATE SBC-13STATE with the AT&T-21STATE Credit Profile form and provide information adequate assurance of payment of amounts due (or to AT&T-21STATE regarding CLEC’s credit and financial conditionbecome due) to SBC-13STATE.
10.2 7.2 Assurance of payment may be requested by AT&T-21STATESBC-12STATE if:
10.2.1 If based on AT&T-21STATE7.2.1 at the Effective Date CLEC had not already established satisfactory credit by having made at least twelve (12) consecutive months of timely payments to SBC-13STATE for charges incurred as a CLEC; or
7.2.2 in SBC-12STATE’s analysis of reasonable judgment, at the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial conditionEffective Date or at any time thereafter, there is has been an impairment of the established credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources, including but not limited to Xxxxx'x, Standard and Poor's, and the Wall Street Journal. Financial information about CLEC that may be considered includes, but is not limited to, investor warning briefs, rating downgrades, and articles discussing pending credit problems; or
10.2.2 7.2.3 CLEC fails to timely pay a bill xxxx rendered to CLEC by AT&T-21STATE SBC-12STATE (except such portion of a bill xxxx that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below9.3); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When 7.2.4 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 7.3 Unless otherwise agreed by the Parties, the assurance of payment will will, at SBC- 12STATE’s option, consist of:
10.4.1 of 7.3.1 a cash security deposit in U.S. dollars held by SBC-12STATE (“Cash Deposit; ”) or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 3 contracts
Samples: Interconnection Agreement, Interconnection Agreement, Interconnection Agreement
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC 9.1 WSP will provide AT&T-21STATE with the completed AT&T-21STATE Credit Profile Application form and provide information to AT&T-21STATE regarding CLECWSP’s credit and financial condition.
10.2 9.2 Assurance of payment Payment may be requested by AT&T-21STATEAT&T-21STATE when:
10.2.1 If 9.2.1 WSP has no established credit history with AT&T or WSP’s credit, financial condition, or credit worthiness is impaired as reasonably determined by AT&T-21STATE based on AT&T-21STATE’s its analysis of the AT&T-21STATE Credit Profile Application and other relevant information from WSP or Third Party financial sources regarding CLECWSP’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC 9.2.2 WSP fails to pay timely pay a bill xxxx rendered to CLEC WSP by AT&T-21STATE (except such portion of a bill xxxx that is subject to a good faith, bona fide dispute and as to which CLEC WSP has complied with all requirements set forth in Section 12.4 11.4 below); and/oror
10.2.3 CLEC9.2.3 WSP’s gross monthly billing has increased. In such instance, AT&T-21STATE reserves the right to request additional security Assurance of Payment (or to require a security deposit an Assurance of Payment if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLECWSP’s “accounts receivables and proceeds”; or
10.2.4 When CLEC 9.2.4 WSP admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 9.3 If AT&T-21STATE requires CLEC WSP to provide a security depositan Assurance of Payment, CLEC WSP shall provide such security deposit Assurance of Payment prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit Assurance of Payment request notices Notices will be sent to CLEC WSP via certified mail or overnight delivery. Such notice Notice period will start the day after the deposit request notice Assurance of Payment Notice is rendered sent by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 9.4 Unless otherwise agreed by the Parties, the assurance Assurance of payment Payment will consist of:
10.4.1 9.4.1 a Cash Deposit; or
10.4.2 9.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 2 contracts
Samples: Telecommunications, Telecommunications
Assurance of Payment. 10.1 16.1 Upon request by AT&T-21STATE, CLEC Carrier will provide AT&T-21STATE with the a completed AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLECXxxxxxx’s credit and financial condition.
10.2 16.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 16.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLECXxxxxxx’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLECCarrier. Such impairment will may be determined from information available from Third Party financial sources; or
10.2.2 CLEC 16.2.2 If Carrier fails to timely pay a bill rendered to CLEC Carrier by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC Xxxxxxx has complied with all requirements set forth in Section 12.4 18.4 below); and/oror
10.2.3 CLEC16.2.3 If Xxxxxxx’s gross monthly billing has increased, then AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requestedobtained) and/or file a Uniform Commercial Code (UCC-1) security interest in CLECCarrier’s “accounts receivables and proceeds”; or
10.2.4 16.2.4 When CLEC Xxxxxxx admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 16.3 If AT&T-21STATE requires CLEC Carrier to provide a security deposit, CLEC Carrier shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC Carrier via certified mail or overnight delivery. Such The notice period will start begin the day after the deposit request notice is rendered delivered to Carrier by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariffstate tariff.
10.4 16.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 16.4.1 a Cash Deposit; or
10.4.2 16.4.2 a Letter of Credit; or
10.4.3 16.4.3 a Surety Bond.
10.5 16.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up equal to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Servicesservices, 251(c)(3) UNEs, and Collocation or any other functions, facilitiesFacilities, products or and/or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months months’ current xxxxxxxx, if CLEC Xxxxxxx has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC Carrier or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC Carrier and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 16.6 To the extent that AT&T-21STATE elects to require requires a Cash Deposit, the Parties intend that the provision payment of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 2 contracts
Samples: Wholesale Agreement, Wholesale Agreement
Assurance of Payment. 10.1 7.1 Upon request by AT&T-21STATESBC-13STATE, CLEC will provide AT&T-21STATE SBC-13STATE with the AT&T-21STATE Credit Profile form and provide information adequate assurance of payment of amounts due (or to AT&T-21STATE regarding CLEC’s credit and financial conditionbecome due) to SBC-13STATE.
10.2 7.2 Assurance of payment may be requested by AT&T-21STATESBC-12STATE if:
10.2.1 If based on AT&T-21STATE7.2.1 at the Effective Date CLEC had not already established satisfactory credit by having made at least twelve (12) consecutive months of timely payments to SBC-13STATE for charges incurred as a CLEC; or
7.2.2 in SBC-12STATE’s analysis of reasonable judgment, at the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial conditionEffective Date or at any time thereafter, there is has been an impairment of the established credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources, including but not limited to Xxxxx'x, Standard and Poor's, and the Wall Street Journal. Financial information about CLEC that may be considered includes, but is not limited to, investor warning briefs, rating downgrades, and articles discussing pending credit problems; or
10.2.2 7.2.3 CLEC fails to timely pay a bill xxxx rendered to CLEC by AT&T-21STATE SBC-12STATE (except such portion of a bill xxxx that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below9.3); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When 7.2.4 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 7.3 Unless otherwise agreed by the Parties, the assurance of payment will will, at SBC-12STATE’s option, consist of:
10.4.1 7.3.1 a cash security deposit in U.S. dollars held by SBC-12STATE (“Cash Deposit; ”) or
10.4.2 7.3.2 an unconditional, irrevocable standby bank letter of credit from a financial institution acceptable to SBC-12STATE naming the SBC owned ILEC(s) designated by SBC-12STATE as the beneficiary(ies) thereof and otherwise in form and substance satisfactory to SBC-12STATE (“Letter of Credit; or
10.4.3 a Surety Bond”).
10.5 7.3.3 The Cash Deposit, Deposit or Letter of Credit or Surety Bond must be in an amount up equal to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATESBC-12STATE, for the Interconnection Interconnection, Resale Services, 251(c)(3) UNEsNetwork Elements, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE SBC-12STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average .
7.3.3.1 Notwithstanding anything else set forth in this Agreement, SBC SOUTHWEST REGION 5- STATE will not request assurance of the previous six payment of charges reasonably anticipated by SBC SOUTHWEST REGION 5-STATE to be incurred in Arkansas in an amount that would exceed one (61) month’s projected xxxx for CLEC’s initial market entry; provided, however, that after three (3) months current xxxxxxxxof operation, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that SBC SOUTHWEST REGION 5-STATE may request assurance of payment of charges reasonably anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service by SBC SOUTHWEST REGION 5-STATE to be received during the next six (6) months will be materially higher or lower than received incurred in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant informationArkansas in an amount not to exceed two times projected average monthly billing to CLEC.
10.6 7.3.3.2 Notwithstanding anything else set forth in this Agreement, SBC SOUTHWEST REGION 5- STATE will not request assurance of payment of charges reasonably anticipated by SBC
7.4 To the extent that AT&T-21STATE SBC-12STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 7.5 A Cash Deposit will accrue interest at the rate of six percent (6%) simple interest per annum. Interest will accrue on a Cash Deposit shall accrue and be applied from the day after it is received by SBC-12STATE through the day immediately prior to the date the Cash Deposit is credited to XXXX’x xxxx(s) or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariffreturned to CLEC. AT&T-21STATE SBC-12STATE will not pay interest on a Letter of Credit or a Surety BondCredit.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 2 contracts
Samples: Interconnection Agreement, Interconnection Agreement
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of SectionSection 10.4 above.
10.10 Notwithstanding anything else set forth in this Agreement, if AT&T-21STATE makes a request for assurance of payment in accordance with the terms of this Section 10.0 then AT&T-21STATE shall have no obligation thereafter to perform under this Agreement until such time as CLEC has furnished AT&T-21STATE with the assurance of payment requested; provided, however, that AT&T-21STATE will permit CLEC a minimum of fifteen (15) calendar days to respond to a request for assurance of payment before invoking this Section 10.0.
10.11 In the event CLEC fails to provide AT&T-21STATE with a suitable form of security deposit or additional security deposit as required herein, defaults on its account(s), or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time required, service to CLEC may be suspended, discontinued or terminated in accordance with the terms of Section 12.0 below. Upon termination of services, AT&T-21STATE shall apply any security deposit to CLEC’s final bill for its account(s). If CLEC fails to furnish the requested adequate assurance of payment on or before the date set forth in the request, AT&T-21STATE may also invoke the provisions set forth in Section 12.0 below.
10.12 A Cash Deposit held by AT&T-21STATE shall be returned to CLEC if the following conditions have been met:
10.12.1 Payment was made on bills rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below) as of the Bill Due Date for all but one time during the prior twelve (12) month period and all payments were made with checks that were honored; and
10.12.2 There has been no impairment of the established credit and/or financial health from information available from financial sources, including but not limited to Xxxxx’x, Standard and Poor’s, and the Wall Street Journal. Financial information about CLEC that may be considered includes, but is not limited to, investor warning briefs, rating downgrades, and articles discussing pending credit problems.
10.13 The fact that a Cash Deposit or Letter of Credit is requested by AT&T-21STATE shall in no way relieve CLEC from timely compliance with all payment obligations under this Agreement (including, but not limited to, recurring, non- recurring and usage sensitive charges, termination charges and advance payments), nor does it constitute a waiver or modification of the terms of this Agreement pertaining to disconnection or re-entry for non-payment of any amounts required to be paid hereunder.
10.14 At least seven (7) calendar days prior to the expiration of any Letter of Credit provided by CLEC as security under this Agreement, CLEC shall renew such Letter of Credit or provide AT&T-21STATE with evidence that CLEC has obtained a suitable replacement for the Letter of Credit. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to draw down the full amount of such Letter of Credit and utilize the cash proceeds as security for CLEC accounts(s). If CLEC provides a security deposit or additional security deposit in the form of a Surety Bond as required herein, CLEC shall renew the Surety Bond or provide AT&T-21STATE with evidence that CLEC has obtained a suitable replacement for the Surety Bond at least seven (7) calendar days prior to the cancellation date of the Surety Bond. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for CLEC’s account(s). If the credit rating of any bonding company that has provided CLEC with a Surety Bond provided as security hereunder has fallen below “B”, AT&T-21STATE will provide written Notice to CLEC that CLEC must provide a replacement bond or other suitable security within fifteen (15) calendar days of AT&T-21STATE’s written Notice. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for CLEC’s account(s). Notwithstanding anything contained in this Agreement to the contrary, AT&T-21STATE shall be authorized to draw down the full amount of any Letter of Credit or take action on any Surety Bond provided by CLEC as security hereunder if CLEC defaults on its account(s) or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time, as required herein.
Appears in 2 contracts
Samples: Wholesale Agreement, Wholesale Agreement
Assurance of Payment. 10.1 7.1 Upon request by AT&T-21STATESBC-13STATE, CLEC will provide AT&T-21STATE SBC-13STATE with the AT&T-21STATE Credit Profile form and provide information adequate assurance of payment of amounts due (or to AT&T-21STATE regarding CLEC’s credit and financial conditionbecome due) to SBC-13STATE.
10.2 7.2 Assurance of payment may be requested by AT&T-21STATESBC-12STATE if:
10.2.1 If based on AT&T-21STATE7.2.1 at the Effective Date CLEC had not already established satisfactory credit by having made at least twelve (12) consecutive months of timely payments to SBC-13STATE for charges incurred as a CLEC; or
7.2.2 in SBC-12STATE’s analysis of reasonable judgment, at the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial conditionEffective Date or at any time thereafter, there is has been an impairment of the established credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources, including but not limited to Xxxxx'x, Standard and Poor's, and the Wall Street Journal. Financial information about CLEC that may be considered includes, but is not limited to, investor warning briefs, rating downgrades, and articles discussing pending credit problems; or
10.2.2 7.2.3 CLEC fails to timely pay a bill xxxx rendered to CLEC by AT&T-21STATE SBC-12STATE (except such portion of a bill xxxx that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below9.3); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When 7.2.4 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 7.3 Unless otherwise agreed by the Parties, the assurance of payment will will, at SBC-12STATE’s option, consist of:
10.4.1 7.3.1 a cash security deposit in U.S. dollars held by SBC-12STATE (“Cash Deposit; ”) or
10.4.2 7.3.2 an unconditional, irrevocable standby bank letter of credit from a financial institution acceptable to SBC-12STATE naming the SBC owned ILEC(s) designated by SBC-12STATE as the beneficiary(ies) thereof and otherwise in form and substance satisfactory to SBC-12STATE (“Letter of Credit; or
10.4.3 a Surety Bond”).
10.5 7.3.3 The Cash Deposit, Deposit or Letter of Credit or Surety Bond must be in an amount up equal to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATESBC-12STATE, for the Interconnection Interconnection, Resale Services, 251(c)(3) UNEsNetwork Elements, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE SBC-12STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average .
7.3.3.1 Notwithstanding anything else set forth in this Agreement, SBC-SWBT will not request assurance of the previous six payment of charges reasonably anticipated by SBC-SWBT to be incurred in Arkansas in an amount that would exceed one (61) month’s projected xxxx for CLEC’s initial market entry; provided, however, that after three (3) months current xxxxxxxxof operation, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that SBC-SWBT may request assurance of payment of charges reasonably anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service by SBC-SWBT to be received during the next six (6) months will be materially higher or lower than received incurred in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant informationArkansas in an amount not to exceed two times projected average monthly billing to CLEC.
10.6 7.3.3.2 Notwithstanding anything else set forth in this Agreement, SBC-SWBT will not request assurance of payment of charges reasonably anticipated by SBC-SWBT to be incurred in Oklahoma in an amount that would exceed two times projected average monthly billing to CLEC.
7.4 To the extent that AT&T-21STATE SBC-12STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 7.5 A Cash Deposit will accrue interest at the rate of six percent (6%) simple interest per annum. Interest will accrue on a Cash Deposit shall accrue and be applied from the day after it is received by SBC-12STATE through the day immediately prior to the date the Cash Deposit is credited to XXXX’x xxxx(s) or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariffreturned to CLEC. AT&T-21STATE SBC-12STATE will not pay interest on a Letter of Credit or a Surety BondCredit.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 2 contracts
Samples: Interconnection Agreement, Interconnection Agreement
Assurance of Payment. 10.1 Upon request by AT&T-21STATEAT&T-22STATE, CLEC CARRIER will provide AT&T-21STATE AT&T-22STATE with the AT&T-21STATE AT&T-22STATE Credit Profile form and provide information to AT&T-21STATE AT&T-22STATE regarding CLECCARRIER’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATEAT&T-22STATE:
10.2.1 If based on AT&T-21STATEAT&T-22STATE’s analysis of the AT&T-21STATE AT&T-22STATE Credit Profile and other relevant information regarding CLECCARRIER’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLECCARRIER. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC CARRIER fails to timely pay a bill xxxx rendered to CLEC CARRIER by AT&T-21STATE AT&T-22STATE (except such portion of a bill xxxx that is subject to a good faith, bona fide dispute and as to which CLEC CARRIER has complied with all requirements set forth in Section 12.4 12.3 below); and/or
10.2.3 CLECCARRIER’s gross monthly billing has increased, AT&T-21STATE AT&T-22STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLECCARRIER’s “accounts receivables and proceeds”; or
10.2.4 When CLEC CARRIER admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 2 contracts
Samples: General Terms and Conditions (Lightyear Network Solutions, Inc.), General Terms and Conditions
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill xxxx rendered to CLEC by AT&T-21STATE (except such portion of a bill xxxx that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 2 contracts
Samples: Telecommunications, Telecommunications
Assurance of Payment. 10.1 7.1 Upon request by AT&T-21STATESBC-13STATE, CLEC will provide AT&T-21STATE SBC-13STATE with the AT&T-21STATE Credit Profile form and provide information adequate assurance of payment of amounts due (or to AT&T-21STATE regarding CLEC’s credit and financial conditionbecome due) to SBC-13STATE.
10.2 7.2 Assurance of payment may be requested by AT&T-21STATESBC-12STATE if:
10.2.1 If based on AT&T-21STATE7.2.1 at the Effective Date CLEC had not already established satisfactory credit by having made at least twelve (12) consecutive months of timely payments to SBC-13STATE for charges incurred as a CLEC; or
7.2.2 in SBC-12STATE’s analysis of reasonable judgment, at the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial conditionEffective Date or at any time thereafter, there is has been an impairment of the established credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources, including but not limited to Xxxxx'x, Standard and Poor's, and the Wall Street Journal. Financial information about CLEC that may be considered includes, but is not limited to, investor warning briefs, rating downgrades, and articles discussing pending credit problems; or
10.2.2 7.2.3 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE SBC-12STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below9.3); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When 7.2.4 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 7.3 Unless otherwise agreed by the Parties, the assurance of payment will will, at SBC-12STATE’s option, consist of:
10.4.1 7.3.1 a cash security deposit in U.S. dollars held by SBC-12STATE (“Cash Deposit; ”) or
10.4.2 7.3.2 an unconditional, irrevocable standby bank letter of credit from a financial institution acceptable to SBC-12STATE naming the SBC owned ILEC(s) designated by SBC-12STATE as the beneficiary(ies) thereof and otherwise in form and substance satisfactory to SBC-12STATE (“Letter of Credit; or
10.4.3 a Surety Bond”).
10.5 7.3.3 The Cash Deposit, Deposit or Letter of Credit or Surety Bond must be in an amount up equal to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATESBC-12STATE, for the Interconnection Interconnection, Resale Services, 251(c)(3) UNEsNetwork Elements, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE SBC-12STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average .
7.3.3.1 Notwithstanding anything else set forth in this Agreement, SBC-SWBT will not request assurance of the previous six payment of charges reasonably anticipated by SBC-SWBT to be incurred in Arkansas in an amount that would exceed one (61) month’s projected bill for CLEC’s initial market entry; provided, however, that after three (3) months current xxxxxxxxof operation, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that SBC-SWBT may request assurance of payment of charges reasonably anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service by SBC-SWBT to be received during the next six (6) months will be materially higher or lower than received incurred in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant informationArkansas in an amount not to exceed two times projected average monthly billing to CLEC.
10.6 7.3.3.2 Notwithstanding anything else set forth in this Agreement, SBC-SWBT will not request assurance of payment of charges reasonably anticipated by SBC-SWBT to be incurred in Oklahoma in an amount that would exceed two times projected average monthly billing to CLEC.
7.4 To the extent that AT&T-21STATE SBC-12STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 7.5 A Cash Deposit will accrue interest at the rate of six percent (6%) simple interest per annum. Interest will accrue on a Cash Deposit shall accrue and be applied from the day after it is received by SBC-12STATE through the day immediately prior to the date the Cash Deposit is credited to XXXX’x xxxx(s) or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariffreturned to CLEC. AT&T-21STATE SBC-12STATE will not pay interest on a Letter of Credit or a Surety BondCredit.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 2 contracts
Samples: Interconnection Agreement, Interconnection Agreement
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increasedincreased over the amount the initial deposit was based on, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.2.5 CLEC subsequently modifies its estimated monthly anticipated charges.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.3.1 AT&T-21STATE reserves the right to suspend CARRIER’s new and change ordering capability in the event the requested security deposit is not received by AT&T-21STATE as requested by AT&T-21STATE.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant informationAT&T- 21STATE may modify the deposit demand accordingly.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 1 contract
Samples: Telecommunications
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; oror Page 29 of 281 Contract Id: 4829447 Version: 2Q16 – ICA – 06/06/16
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 1 contract
Samples: Wholesale Agreement
Assurance of Payment. 10.1 5.1 Upon request by AT&T-21STATEAT&T TEXAS, CLEC Carrier will provide AT&T-21STATE AT&T TEXAS with the AT&T-21STATE AT&T TEXAS Credit Profile form and provide information to AT&T-21STATE AT&T TEXAS regarding CLECXxxxxxx’s credit and financial condition.
10.2 5.2 Assurance of payment may be requested by AT&T-21STATEAT&T TEXAS:
10.2.1 5.2.1 If based on AT&T-21STATEAT&T TEXAS’s analysis of the AT&T-21STATE AT&T TEXAS Credit Profile and other relevant information regarding CLECXxxxxxx’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLECCarrier. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC 5.2.2 Carrier fails to timely pay a bill rendered to CLEC Carrier by AT&T-21STATE AT&T TEXAS (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC Xxxxxxx has complied with all requirements set forth in Section 12.4 8.4 below); and/or
10.2.3 CLEC5.2.3 Carrier’s gross monthly billing has increased, AT&T-21STATE AT&T TEXAS reserves the right to request additional security (or to require a security deposit an assurance of payment if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLECCarrier’s “accounts receivables and proceeds”; or
10.2.4 5.2.4 When CLEC Xxxxxxx admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 5.3 If AT&T-21STATE AT&T TEXAS requires CLEC Carrier to provide a security depositan assurance of payment pursuant to this section, CLEC Carrier shall provide such security deposit assurance of payment prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s AT&T TEXAS’ request, as applicable. Deposit Assurance of payment request notices will be sent to CLEC Carrier via certified mail or overnight delivery. Such notice period will start the day after the deposit assurance of payment request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s AT&T TEXAS’ applicable Tarifftariff.
10.4 5.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 5.4.1 a Cash Deposit; or
10.4.2 5.4.2 a Letter of Credit; or
10.4.3 5.4.3 a Surety Bond.
10.5 5.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATEAT&T TEXAS, for the Interconnection Servicesproduct and/or services, 251(c)(3) UNEs, and Collocation or any other functions, facilities, products or and/or services to be furnished by AT&T-21STATE AT&T TEXAS under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC Xxxxxxx has received service from AT&T-21STATE AT&T TEXAS during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC Carrier or AT&T-21STATE AT&T TEXAS has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC Carrier and AT&T-21STATE AT&T TEXAS shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require 5.6 If Carrier provides a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 5.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariffapplicable AT&T TEXAS state tariff. AT&T-21STATE AT&T TEXAS will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE 5.8 AT&T TEXAS may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC 5.8.1 Carrier owes AT&T-21STATE AT&T TEXAS undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC 5.8.2 Carrier admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 5.8.3 The expiration or termination of this Agreement.
10.9 5.9 If AT&T-21STATE AT&T TEXAS draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATEAT&T TEXAS, CLEC Carrier will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section 5.4 above.
5.10 Notwithstanding anything else set forth in this Agreement, if AT&T TEXAS makes a request for assurance of payment in accordance with the terms of this Section 5.0 then AT&T TEXAS shall have no obligation thereafter to perform under this Agreement until such time as Carrier has furnished AT&T TEXAS with the assurance of payment requested; provided, however, that AT&T TEXAS will permit Carrier a minimum of fifteen (15) calendar days to respond to a request for assurance of payment before invoking charges as set forth in this Section 5.0.
5.11 In the event Carrier fails to provide AT&T TEXAS with a suitable form of assurance of payment or additional assurance of payment as required herein, defaults on its account(s), or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time required, service to Carrier may be suspended, discontinued or terminated in accordance with the terms of this Section. Upon termination of services, AT&T TEXAS shall apply any assurance of payment to Carrier’s final bill for its account(s). If Carrier fails to furnish the requested adequate assurance of payment on or before the date set forth in the request, AT&T TEXAS may also invoke the provisions set forth in Section 9.0 below.
5.12 A Cash Deposit held by AT&T TEXAS shall be returned to Carrier if the following conditions have been met:
5.12.1 Payment was made on bills rendered to Carrier by AT&T TEXAS (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which Xxxxxxx has complied with all requirements set forth in Section 8.4 below) as of the Bill Due Date for all but one time during the prior twelve (12) month period and all payments were made with checks that were honored; and
5.12.2 There has been no impairment of the established credit and/or financial health from information available from financial sources, including but not limited to Moody’s, Standard and Poor’s, and the Wall Street Journal. Financial information about Carrier that may be considered includes, but is not limited to, investor warning briefs, rating downgrades, and articles discussing pending credit problems.
5.13 The fact that a Cash Deposit, Surety Bond, or Letter of Credit is requested by AT&T TEXAS shall in no way relieve Carrier from timely compliance with all payment obligations under this Agreement (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), nor does it constitute a waiver or modification of the terms of this Agreement pertaining to disconnection or re-entry for non-payment of any amounts required to be paid hereunder.
5.14 At least seven (7) calendar days prior to the expiration of any Letter of Credit provided by Carrier as security under this Agreement, Carrier shall renew such Letter of Credit or provide AT&T TEXAS with evidence that Carrier has obtained a suitable replacement for the Letter of Credit. If Carrier fails to comply with the foregoing, AT&T TEXAS shall thereafter be authorized to draw down the full amount of such Letter of Credit and utilize the cash proceeds as security for Carrier accounts(s). If Carrier provides an assurance of payment or additional assurance of payment in the form of a Surety Bond as required herein, Carrier shall renew the Surety Bond or provide AT&T TEXAS with evidence that Carrier has obtained a suitable replacement for the Surety Bond at least seven (7) calendar days prior to the cancellation date of the Surety Bond. If Carrier fails to comply with the foregoing, AT&T TEXAS shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for Carrier’s account(s). If the credit rating of any bonding company that has provided Carrier with a Surety Bond provided as security hereunder has fallen below “B”, AT&T TEXAS will provide written notice to Carrier that Carrier must provide a replacement bond or other suitable security within fifteen (15) calendar days of AT&T TEXAS’s written notice. If Carrier fails to comply with the foregoing, AT&T TEXAS shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for Carrier’s account(s). Notwithstanding anything contained in this Agreement to the contrary, AT&T TEXAS shall be authorized to draw down the full amount of any Letter of Credit or take action on any Surety Bond provided by Carrier as security hereunder if Carrier defaults on its account(s) or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time, as required herein.
Appears in 1 contract
Samples: Interconnection Agreement
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx billings are calculated based upon the monthly average of the previous six (6) months current xxxxxxxxbillings, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx billings based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of SectionSection 10.4 above.
10.10 Notwithstanding anything else set forth in this Agreement, if AT&T-21STATE makes a request for assurance of payment in accordance with the terms of this Section 10.0 then AT&T-21STATE shall have no obligation thereafter to perform under this Agreement until such time as CLEC has furnished AT&T-21STATE with the assurance of payment requested; provided, however, that AT&T-21STATE will permit CLEC a minimum of fifteen (15) calendar days to respond to a request for assurance of payment before invoking this Section 10.0.
10.11 In the event CLEC fails to provide AT&T-21STATE with a suitable form of security deposit or additional security deposit as required herein, defaults on its account(s), or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time required, service to CLEC may be suspended, discontinued or terminated in accordance with the terms of Section 12.0 below. Upon termination of services, AT&T-21STATE shall apply any security deposit to CLEC’s final bill for its account(s). If CLEC fails to furnish the requested adequate assurance of payment on or before the date set forth in the request, AT&T-21STATE may also invoke the provisions set forth in Section 12.0 below.
10.12 A Cash Deposit held by AT&T-21STATE shall be returned to CLEC if the following conditions have been met:
10.12.1 Payment was made on bills rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below) as of the Bill Due Date for all but one time during the prior twelve (12) month period and all payments were made with checks that were honored; and
10.12.2 There has been no impairment of the established credit and/or financial health from information available from financial sources, including but not limited to Moody’s, Standard and Poor’s, and the Wall Street Journal. Financial information about CLEC that may be considered includes, but is not limited to, investor warning briefs, rating downgrades, and articles discussing pending credit problems.
10.13 The fact that a Cash Deposit or Letter of Credit is requested by AT&T-21STATE shall in no way relieve CLEC from timely compliance with all payment obligations under this Agreement (including, but not limited to, recurring, non- recurring and usage sensitive charges, termination charges and advance payments), nor does it constitute a waiver or modification of the terms of this Agreement pertaining to disconnection or re-entry for non-payment of any amounts required to be paid hereunder.
10.14 At least seven (7) calendar days prior to the expiration of any Letter of Credit provided by CLEC as security under this Agreement, CLEC shall renew such Letter of Credit or provide AT&T-21STATE with evidence that CLEC has obtained a suitable replacement for the Letter of Credit. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to draw down the full amount of such Letter of Credit and utilize the cash proceeds as security for CLEC accounts(s). If CLEC provides a security deposit or additional security deposit in the form of a Surety Bond as required herein, CLEC shall renew the Surety Bond or provide AT&T-21STATE with evidence that CLEC has obtained a suitable replacement for the Surety Bond at least seven (7) calendar days prior to the cancellation date of the Surety Bond. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for CLEC’s account(s). If the credit rating of any bonding company that has provided CLEC with a Surety Bond provided as security hereunder has fallen below “B”, AT&T-21STATE will provide written Notice to CLEC that CLEC must provide a replacement bond or other suitable security within fifteen (15) calendar days of AT&T-21STATE’s written Notice. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for CLEC’s account(s). Notwithstanding anything contained in this Agreement to the contrary, AT&T-21STATE shall be authorized to draw down the full amount of any Letter of Credit or take action on any Surety Bond provided by CLEC as security hereunder if CLEC defaults on its account(s) or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time, as required herein.
Appears in 1 contract
Samples: Wholesale Agreement
Assurance of Payment. 10.1 9.1 Upon request by AT&T-21STATEAT&T-22STATE, CLEC CMRS Provider will provide AT&T-21STATE AT&T-22STATE with the AT&T-21STATE AT&T-22STATE Credit Profile form and provide information to AT&T-21STATE AT&T-22STATE regarding CLECCMRS Provider’s credit and financial condition.
10.2 9.2 Assurance of payment may be requested by AT&T-21STATEAT&T-22STATE:
10.2.1 9.2.1 If based on AT&T-21STATEAT&T-22STATE’s analysis of the AT&T-21STATE AT&T-22STATE Credit Profile and other relevant information regarding CLECCMRS Provider’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLECCMRS Provider. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC 9.2.2 CMRS Provider fails to timely pay a bill rendered to CLEC CMRS Provider by AT&T-21STATE AT&T-22STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC CMRS Provider has complied with all requirements set forth in Section 12.4 11.4 below); and/orand/or Page 21 of 247 365 WIRELESS, LLC
10.2.3 CLEC9.2.3 CMRS Provider’s gross monthly billing has increased, AT&T-21STATE AT&T-22STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLECCMRS Provider’s “accounts receivables and proceeds”; or
10.2.4 9.2.4 When CLEC CMRS Provider admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 9.3 If AT&T-21STATE AT&T-22STATE requires CLEC CMRS Provider to provide a security deposit, CLEC CMRS Provider shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATEAT&T-22STATE’s request, as applicable. Deposit request notices will be sent to CLEC CMRS Provider via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATEAT&T- 22STATE’s applicable Tarifftariff.
10.4 9.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 9.4.1 a Cash Deposit; or
10.4.2 9.4.2 a Letter of Credit; or
10.4.3 9.4.3 a Surety Bond.
10.5 9.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATEAT&T-22STATE, for the Interconnection Servicesproduct and/or services, 251(c)(3) UNEs, and Collocation or any other functions, facilities, products or and/or services to be furnished by AT&T-21STATE AT&T-22STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC CMRS Provider has received service from AT&T-21STATE AT&T-22STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC CMRS Provider or AT&T-21STATE AT&T-22STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC CMRS Provider and AT&T-21STATE AT&T-22STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 9.6 To the extent that AT&T-21STATE AT&T-22STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 1 contract
Samples: Wholesale Agreement
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill xxxx rendered to CLEC by AT&T-21STATE (except such portion of a bill xxxx that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the Page 31 of 847 Contract Id: 88399114187796 ACCEPTED FOR PROCESSING - 2018 November 7 7:10 AM - SCPSC - 2018-350-C - Page 31 of 299 AIRUS previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of SectionSection 10.4 above.
10.10 Notwithstanding anything else set forth in this Agreement, if AT&T-21STATE makes a request for assurance of payment in accordance with the terms of this Section 10.0 then AT&T-21STATE shall have no obligation thereafter to perform under this Agreement until such time as CLEC has furnished AT&T-21STATE with the assurance of payment requested; provided, however, that AT&T-21STATE will permit CLEC a minimum of fifteen (15) calendar days to respond to a request for assurance of payment before invoking this Section 10.0.
10.11 In the event CLEC fails to provide AT&T-21STATE with a suitable form of security deposit or additional security deposit as required herein, defaults on its account(s), or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time required, service to CLEC may be suspended, discontinued or terminated in accordance with the terms of Section 12.0 below. Upon termination of services, AT&T-21STATE shall apply any security deposit to CLEC’s final xxxx for its account(s). If CLEC fails to furnish the requested adequate assurance of payment on or before the date set forth in the request, AT&T-21STATE may also invoke the provisions set forth in Section 12.0 below.
10.12 A Cash Deposit held by AT&T-21STATE shall be returned to CLEC if the following conditions have been met:
10.12.1 Payment was made on bills rendered to CLEC by AT&T-21STATE (except such portion of a xxxx that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below) as of the Xxxx Due Date for all but one time during the prior twelve (12) month period and all payments were made with checks that were honored; and
10.12.2 There has been no impairment of the established credit and/or financial health from information available from financial sources, including but not limited to Xxxxx’x, Standard and Poor’s, and the Wall Street Journal. Financial information about CLEC that may be considered includes, but is not limited to, investor warning briefs, rating downgrades, and articles discussing pending credit problems.
10.13 The fact that a Cash Deposit or Letter of Credit is requested by AT&T-21STATE shall in no way relieve CLEC from timely compliance with all payment obligations under this Agreement (including, but not limited to, recurring, non- Page 32 of 847 Contract Id: 88399114187796 ACCEPTED FOR PROCESSING - 2018 November 7 7:10 AM - SCPSC - 2018-350-C - Page 32 of 299 AIRUS recurring and usage sensitive charges, termination charges and advance payments), nor does it constitute a waiver or modification of the terms of this Agreement pertaining to disconnection or re-entry for non-payment of any amounts required to be paid hereunder.
10.14 At least seven (7) calendar days prior to the expiration of any Letter of Credit provided by CLEC as security under this Agreement, CLEC shall renew such Letter of Credit or provide AT&T-21STATE with evidence that CLEC has obtained a suitable replacement for the Letter of Credit. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to draw down the full amount of such Letter of Credit and utilize the cash proceeds as security for CLEC accounts(s). If CLEC provides a security deposit or additional security deposit in the form of a Surety Bond as required herein, CLEC shall renew the Surety Bond or provide AT&T-21STATE with evidence that CLEC has obtained a suitable replacement for the Surety Bond at least seven (7) calendar days prior to the cancellation date of the Surety Bond. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for CLEC’s account(s). If the credit rating of any bonding company that has provided CLEC with a Surety Bond provided as security hereunder has fallen below “B”, AT&T-21STATE will provide written Notice to CLEC that CLEC must provide a replacement bond or other suitable security within fifteen (15) calendar days of AT&T-21STATE’s written Notice. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for CLEC’s account(s). Notwithstanding anything contained in this Agreement to the contrary, AT&T-21STATE shall be authorized to draw down the full amount of any Letter of Credit or take action on any Surety Bond provided by CLEC as security hereunder if CLEC defaults on its account(s) or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time, as required herein.
Appears in 1 contract
Samples: Telecommunications
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the Page 29 of 89 Contract Id: 88466649955503 General Terms and Conditions/AT&T-21STATE Page 25 of 55 SPECTROTEL Version: 4Q15 – Intercarrier Compensation – 10/21/15 level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of SectionSection 10.4 above.
10.10 Notwithstanding anything else set forth in this Agreement, if AT&T-21STATE makes a request for assurance of payment in accordance with the terms of this Section 10.0 then AT&T-21STATE shall have no obligation thereafter to perform under this Agreement until such time as CLEC has furnished AT&T-21STATE with the assurance of payment requested; provided, however, that AT&T-21STATE will permit CLEC a minimum of fifteen (15) calendar days to respond to a request for assurance of payment before invoking this Section 10.0.
10.11 In the event CLEC fails to provide AT&T-21STATE with a suitable form of security deposit or additional security deposit as required herein, defaults on its account(s), or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time required, service to CLEC may be suspended, discontinued or terminated in accordance with the terms of Section 12.0 below. Upon termination of services, AT&T-21STATE shall apply any security deposit to CLEC’s final bill for its account(s). If CLEC fails to furnish the requested adequate assurance of payment on or before the date set forth in the request, AT&T-21STATE may also invoke the provisions set forth in Section 12.0 below.
10.12 A Cash Deposit held by AT&T-21STATE shall be returned to CLEC if the following conditions have been met:
10.12.1 Payment was made on bills rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below) as of the Bill Due Date for all but one time during the prior twelve (12) month period and all payments were made with checks that were honored; and
10.12.2 There has been no impairment of the established credit and/or financial health from information available from financial sources, including but not limited to Moody’s, Standard and Poor’s, and the Wall Street Journal. Financial information about CLEC that may be considered includes, but is not limited to, investor warning briefs, rating downgrades, and articles discussing pending credit problems.
10.13 The fact that a Cash Deposit or Letter of Credit is requested by AT&T-21STATE shall in no way relieve CLEC from timely compliance with all payment obligations under this Agreement (including, but not limited to, recurring, non- recurring and usage sensitive charges, termination charges and advance payments), nor does it constitute a waiver or modification of the terms of this Agreement pertaining to disconnection or re-entry for non-payment of any amounts required to be paid hereunder. Page 30 of 89 Contract Id: 88466649955503 General Terms and Conditions/AT&T-21STATE Page 26 of 55 SPECTROTEL Version: 4Q15 – Intercarrier Compensation – 10/21/15
10.14 At least seven (7) calendar days prior to the expiration of any Letter of Credit provided by CLEC as security under this Agreement, CLEC shall renew such Letter of Credit or provide AT&T-21STATE with evidence that CLEC has obtained a suitable replacement for the Letter of Credit. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to draw down the full amount of such Letter of Credit and utilize the cash proceeds as security for CLEC accounts(s). If CLEC provides a security deposit or additional security deposit in the form of a Surety Bond as required herein, CLEC shall renew the Surety Bond or provide AT&T-21STATE with evidence that CLEC has obtained a suitable replacement for the Surety Bond at least seven (7) calendar days prior to the cancellation date of the Surety Bond. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for CLEC’s account(s). If the credit rating of any bonding company that has provided CLEC with a Surety Bond provided as security hereunder has fallen below “B”, AT&T-21STATE will provide written Notice to CLEC that CLEC must provide a replacement bond or other suitable security within fifteen (15) calendar days of AT&T-21STATE’s written Notice. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for CLEC’s account(s). Notwithstanding anything contained in this Agreement to the contrary, AT&T-21STATE shall be authorized to draw down the full amount of any Letter of Credit or take action on any Surety Bond provided by CLEC as security hereunder if CLEC defaults on its account(s) or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time, as required herein.
Appears in 1 contract
Samples: Wholesale Agreement
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of SectionSection 10.4 above.
10.10 Notwithstanding anything else set forth in this Agreement, if AT&T-21STATE makes a request for assurance of payment in accordance with the terms of this Section 10.0 then AT&T-21STATE shall have no obligation thereafter to perform under this Agreement until such time as CLEC has furnished AT&T-21STATE with the assurance of payment requested; provided, however, that AT&T-21STATE will permit CLEC a minimum of fifteen (15) calendar days to respond to a request for assurance of payment before invoking this Section 10.0.
10.11 In the event CLEC fails to provide AT&T-21STATE with a suitable form of security deposit or additional security deposit as required herein, defaults on its account(s), or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time required, service to CLEC may be suspended, discontinued or terminated in accordance with the terms of Section 12.0 below. Upon termination of services, AT&T-21STATE shall apply any security deposit to CLEC’s final bill for its (account(s). If CLEC fails to furnish the requested adequate assurance of payment on or before the date set forth in the request, AT&T-21STATE may also invoke the provisions set forth in Section 12.0 below.
10.12 A Cash Deposit held by AT&T-21STATE shall be returned to CLEC if the following conditions have been met:
10.12.1 Payment was made on bills rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below) as of the Bill Due Date for all but one time during the prior twelve (12) month period and all payments were made with checks that were honored; and
10.12.2 There has been no impairment of the established credit and/or financial health from information available from financial sources, including but not limited to Moody’s, Standard and Poor’s, and the Wall Street Journal. Financial information about CLEC that may be considered includes, but is not limited to, investor warning briefs, rating downgrades, and articles discussing pending credit problems.
10.13 The fact that a Cash Deposit or Letter of Credit is requested by AT&T-21STATE shall in no way relieve CLEC from timely compliance with all payment obligations under this Agreement (including, but not limited to, recurring, non- recurring and usage sensitive charges, termination charges and advance payments), nor does it constitute a waiver or modification of the terms of this Agreement pertaining to disconnection or re-entry for non-payment of any amounts required to be paid hereunder.
10.14 At least seven (7) calendar days prior to the expiration of any Letter of Credit provided by CLEC as security under this Agreement, CLEC shall renew such Letter of Credit or provide AT&T-21STATE with evidence that CLEC has obtained a suitable replacement for the Letter of Credit. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to draw down the full amount of such Letter of Credit and utilize the cash proceeds as security for CLEC accounts(s). If CLEC provides a security deposit or additional security deposit in the form of a Surety Bond as required herein, CLEC shall renew the Surety Bond or provide AT&T-21STATE with evidence that CLEC has obtained a suitable replacement for the Surety Bond at least seven (7) calendar days prior to the cancellation date of the Surety Bond. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for CLEC’s account(s). If the credit rating of any bonding company that has provided CLEC with a Surety Bond provided as security hereunder has fallen below “B”, AT&T-21STATE will provide written Notice to CLEC that CLEC must provide a replacement bond or other suitable security within fifteen (15) calendar days of AT&T-21STATE’s written Notice. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for CLEC’s account(s). Notwithstanding anything contained in this Agreement to the contrary, AT&T-21STATE shall be authorized to draw down the full amount of any Letter of Credit or take action on any Surety Bond provided by CLEC as security hereunder if CLEC defaults on its account(s) or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time, as required herein.
Appears in 1 contract
Samples: Wholesale Agreement
Assurance of Payment. 10.1 16.1 Upon request by AT&T-21STATEAT&T-22STATE, CLEC Carrier will provide AT&T-21STATE AT&T-22STATE with the AT&T-21STATE a completed AT&T-22STATE Credit Profile form and provide information to AT&T-21STATE AT&T-22STATE regarding CLECCarrier’s credit and financial condition.
10.2 16.2 Assurance of payment may be requested by AT&T-21STATEAT&T-22STATE:
10.2.1 16.2.1 If based on AT&T-21STATEAT&T-22STATE’s analysis of the AT&T-21STATE AT&T-22STATE Credit Profile and other relevant information regarding CLECCarrier’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLECCarrier. Such impairment will may be determined from information available from Third Party financial sources; or
10.2.2 CLEC 16.2.2 If Carrier fails to timely pay a bill xxxx rendered to CLEC Carrier by AT&T-21STATE AT&T-22STATE (except such portion of a bill xxxx that is subject to a good faith, bona fide dispute and as to which CLEC Carrier has complied with all requirements set forth in Section 12.4 18.4 below); and/oror
10.2.3 CLEC16.2.3 If Carrier’s gross monthly billing has increased, AT&T-21STATE then AT&T-22STATE reserves the right to request additional security (or to require a security deposit if none was previously requestedobtained) and/or file a Uniform Commercial Code (UCC-1) security interest in CLECCarrier’s “accounts receivables and proceeds”; or
10.2.4 16.2.4 When CLEC Carrier admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 1 contract
Samples: Interconnection Agreement
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; oror CN:07252016-5401 000028
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 1 contract
Samples: Telecommunications
Assurance of Payment. 10.1 7.1 Upon request by AT&T-21STATESBC-13STATE, CLEC will provide AT&T-21STATE SBC-13STATE with the AT&T-21STATE Credit Profile form and provide information adequate assurance of payment of amounts due (or to AT&T-21STATE regarding CLEC’s credit and financial conditionbecome due) to SBC- 13STATE.
10.2 7.2 Assurance of payment may be requested by AT&T-21STATESBC-12STATE if:
10.2.1 If based on AT&T-21STATE7.2.1 at the Effective Date CLEC had not already established satisfactory credit by having made at least twelve (12) consecutive months of timely payments to SBC-13STATE for charges incurred as a CLEC; or
7.2.2 in SBC-12STATE’s analysis of reasonable judgment, at the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial conditionEffective Date or at any time thereafter, there is has been an impairment of the established credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources, including but not limited to Xxxxx'x, Standard and Poor's, and the Wall Street Journal. Financial information about CLEC that may be considered includes, but is not limited to, investor warning briefs, rating downgrades, and articles discussing pending credit problems; or
10.2.2 7.2.3 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE SBC-12STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below9.3); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When 7.2.4 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 7.3 Unless otherwise agreed by the Parties, the assurance of payment will will, at SBC- 12STATE’s option, consist of:
10.4.1 of 7.3.1 a cash security deposit in U.S. dollars held by SBC-12STATE (“Cash Deposit; ”) or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 1 contract
Samples: Interconnection Agreement
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; oror Page 29 of 284 Contract Id: 4846999 Version: 2Q16 – ICA – 06/06/16
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 1 contract
Samples: Wholesale Agreement
Assurance of Payment. 10.1 9.1 Upon request by AT&T-21STATEAT&T-22STATE, CLEC CMRS Provider will provide AT&T-21STATE AT&T-22STATE with the AT&T-21STATE AT&T-22STATE Credit Profile form and provide information to AT&T-21STATE AT&T-22STATE regarding CLECCMRS Provider’s credit and financial condition.
10.2 9.2 Assurance of payment may be requested by AT&T-21STATEAT&T-22STATE:
10.2.1 9.2.1 If based on AT&T-21STATEAT&T-22STATE’s analysis of the AT&T-21STATE AT&T-22STATE Credit Profile and other relevant information regarding CLECCMRS Provider’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLECCMRS Provider. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC 9.2.2 CMRS Provider fails to timely pay a bill rendered to CLEC CMRS Provider by AT&T-21STATE AT&T-22STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC CMRS Provider has complied with all requirements set forth in Section 12.4 11.4 below); and/or
10.2.3 CLEC9.2.3 CMRS Provider’s gross monthly billing has increased, AT&T-21STATE AT&T-22STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLECCMRS Provider’s “accounts receivables and proceeds”; ” or;
10.2.4 9.2.4 When CLEC CMRS Provider admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 9.3 If AT&T-21STATE AT&T-22STATE requires CLEC CMRS Provider to provide a security deposit, CLEC CMRS Provider shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATEAT&T-22STATE’s request, as applicable. Deposit request notices will be sent to CLEC CMRS Provider via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATEAT&T- 22STATE’s applicable Tarifftariff.
10.4 9.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 9.4.1 a Cash Deposit; Deposit or
10.4.2 9.4.2 a Letter of Credit; Credit or
10.4.3 9.4.3 a Surety Bond.
10.5 9.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATEAT&T-22STATE, for the Interconnection Servicesproduct and/or services, 251(c)(3) UNEs, and Collocation or any other functions, facilities, products or and/or services to be furnished by AT&T-21STATE AT&T-22STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC CMRS Provider has received service from AT&T-21STATE AT&T-22STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC CMRS Provider or AT&T-21STATE AT&T-22STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC CMRS Provider and AT&T-21STATE AT&T-22STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 9.6 To the extent that AT&T-21STATE AT&T-22STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 1 contract
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of SectionSection 10.4 above.
10.10 Notwithstanding anything else set forth in this Agreement, if AT&T-21STATE makes a request for assurance of payment in accordance with the terms of this Section 10.0 then AT&T-21STATE shall have no obligation thereafter to perform under this Agreement until such time as CLEC has furnished AT&T-21STATE with the assurance of payment requested; provided, however, that AT&T-21STATE will permit CLEC a minimum of fifteen (15) calendar days to respond to a request for assurance of payment before invoking this Section 10.0.
10.11 In the event CLEC fails to provide AT&T-21STATE with a suitable form of security deposit or additional security deposit as required herein, defaults on its account(s), or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time required, service to CLEC may be suspended, discontinued or terminated in accordance with the terms of Section 12.0 below. Upon termination of services, AT&T-21STATE shall apply any security deposit to CLEC’s final bill for its (account(s). If CLEC fails to furnish the requested adequate assurance of payment on or before the date set forth in the request, AT&T-21STATE may also invoke the provisions set forth in Section 12.0 below.
10.12 A Cash Deposit held by AT&T-21STATE shall be returned to CLEC if the following conditions have been met:
10.12.1 Payment was made on bills rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below) as of the Bill Due Date for all but one time during the prior twelve (12) month period and all payments were made with checks that were honored; and
10.12.2 There has been no impairment of the established credit and/or financial health from information available from financial sources, including but not limited to Xxxxx’x, Standard and Poor’s, and the Wall Street Journal. Financial information about CLEC that may be considered includes, but is not limited to, investor warning briefs, rating downgrades, and articles discussing pending credit problems.
10.13 The fact that a Cash Deposit or Letter of Credit is requested by AT&T-21STATE shall in no way relieve CLEC from timely compliance with all payment obligations under this Agreement (including, but not limited to, recurring, non- recurring and usage sensitive charges, termination charges and advance payments), nor does it constitute a waiver or modification of the terms of this Agreement pertaining to disconnection or re-entry for non-payment of any amounts required to be paid hereunder.
10.14 At least seven (7) calendar days prior to the expiration of any Letter of Credit provided by CLEC as security under this Agreement, CLEC shall renew such Letter of Credit or provide AT&T-21STATE with evidence that CLEC has obtained a suitable replacement for the Letter of Credit. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to draw down the full amount of such Letter of Credit and utilize the cash proceeds as security for CLEC accounts(s). If CLEC provides a security deposit or additional security deposit in the form of a Surety Bond as required herein, CLEC shall renew the Surety Bond or provide AT&T-21STATE with evidence that CLEC has obtained a suitable replacement for the Surety Bond at least seven (7) calendar days prior to the cancellation date of the Surety Bond. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for CLEC’s account(s). If the credit rating of any bonding company that has provided CLEC with a Surety Bond provided as security hereunder has fallen below “B”, AT&T-21STATE will provide written Notice to CLEC that CLEC must provide a replacement bond or other suitable security within fifteen (15) calendar days of AT&T-21STATE’s written Notice. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for CLEC’s account(s). Notwithstanding anything contained in this Agreement to the contrary, AT&T-21STATE shall be authorized to draw down the full amount of any Letter of Credit or take action on any Surety Bond provided by CLEC as security hereunder if CLEC defaults on its account(s) or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time, as required herein.
Appears in 1 contract
Samples: Wholesale Agreement
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC WSP will provide AT&T-21STATE with the completed AT&T-21STATE Credit Profile Application form and provide information to AT&T-21STATE regarding CLECWSP’s credit and financial condition.
10.2 Assurance of payment Payment may be requested by AT&T-21STATEAT&T-21STATE when:
10.2.1 If WSP has no established credit history with AT&T or WSP’s credit, financial condition, or credit worthiness is impaired as reasonably determined by AT&T-21STATE based on AT&T-21STATE’s its analysis of the AT&T-21STATE Credit Profile Application and other relevant information from WSP or Third Party financial sources regarding CLECWSP’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC WSP fails to pay timely pay a bill rendered to CLEC WSP by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC WSP has complied with all requirements set forth in Section 12.4 below); and/oror
10.2.3 CLECWSP’s gross monthly billing has increased. In such instance, AT&T-21STATE reserves the right to request additional security Assurance of Payment (or to require a security deposit an Assurance of Payment if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLECWSP’s “accounts receivables and proceeds”; or
10.2.4 When CLEC WSP admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC WSP to provide a security depositan Assurance of Payment, CLEC WSP shall provide such security deposit Assurance of Payment prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit Assurance of Payment request notices Notices will be sent to CLEC WSP via certified mail or overnight delivery. Such notice Notice period will start the day after the deposit request notice Assurance of Payment Notice is rendered sent by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance Assurance of payment Payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.. CN:05132019-9387 0000(2C5)
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in the greater of an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), a minimum of $10,000 per legal entity, per state as submitted on the credit application or as reasonably determined by AT&T-21STATE, for the Interconnection Servicesproduct and/or services, 251(c)(3) UNEs, and Collocation or any other functions, facilities, products or and/or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC WSP has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC WSP or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC WSP and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 AT&T-21STATE reserves the right to request that WSP submit an updated Credit Application and provide a larger Assurance of Payment in the event that this Agreement is amended to add additional states and/or entities.
10.7 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 10.8 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate applicable AT&T-21STATE Tariffstate tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 10.9 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit Credit, Surety Bond, or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC 10.9.1 WSP owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC 10.9.2 WSP admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 10.9.3 The expiration or termination of this Agreement.
10.9 10.10 If AT&T-21STATE draws on the Letter of Credit Credit, Surety Bond, or Cash Deposit, upon request by AT&T-21STATE, CLEC WSP will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of SectionSection 10.5 above.
10.11 Notwithstanding anything else set forth in this Agreement, if AT&T-21STATE makes a request for Assurance of Payment in accordance with the terms of this Section 10.0 then AT&T-21STATE shall have no obligation thereafter to perform under this Agreement until such time as WSP has furnished AT&T-21STATE with the Assurance of Payment requested; provided, however, that AT&T-21STATE will permit WSP a minimum of fifteen (15) days to respond to a request for Assurance of Payment before assessing charges as set forth in this Section 10.0.
10.12 In the event WSP fails to provide AT&T-21STATE with a suitable form of Assurance of Payment or additional Assurance of Payment as required herein, defaults on WSP’s account(s), or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time required, service to WSP may be suspended, discontinued or terminated in accordance with the terms of Section 12.0 below. Upon termination of services, AT&T- 21STATE shall apply any Assurance of Payment to WSP’s final bill for its account(s).
10.13 A Cash Deposit held by AT&T-21STATE shall be returned to WSP if the following conditions have been met:
10.13.1 Payment was made on bills rendered to WSP by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which WSP has complied with all requirements set forth in Section 12.4 below) as of the Bill Due Date for all but one time during the prior twelve (12) month period and all payments that were made with checks were honored; and
10.13.2 There has been no impairment of the established credit and/or financial health from information available from financial sources, including but not limited to Moody’s, Standard and Poor’s, and the Wall Street Journal. CN:05132019-9387 000026 Financial information about WSP that may be considered includes, but is not limited to, investor warning briefs, rating downgrades, and articles discussing pending credit problems.
10.14 The fact that a Cash Deposit, Surety Bond, or Letter of Credit is requested by AT&T-21STATE shall in no way relieve WSP from timely compliance with all payment obligations under this Agreement (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), nor does it constitute a waiver or modification of the terms of this Agreement pertaining to disconnection or re-entry for non-payment of any amounts required to be paid hereunder.
10.15 At least seven (7) days prior to the expiration of any Letter of Credit provided by WSP as Assurance of Payment under this Agreement, WSP shall renew such Letter of Credit or provide AT&T-21STATE with evidence that WSP has obtained a suitable replacement for the Letter of Credit. If WSP fails to comply with the foregoing, AT&T-21STATE thereafter shall be authorized to draw down the full amount of such Letter of Credit and utilize the cash proceeds as Assurance of Payment for WSP accounts(s). If WSP provides an Assurance of Payment or additional Assurance of Payment in the form of a Surety Bond as required herein, WSP shall renew the Surety Bond or provide AT&T-21STATE with evidence that WSP has obtained a suitable replacement for the Surety Bond at least seven (7) days prior to the cancellation date of the Surety Bond. If WSP fails to comply with the foregoing, AT&T-21STATE thereafter shall be authorized to take action on the Surety Bond and utilize the cash proceeds as Assurance of Payment for WSP’s account(s). If the credit rating of any bonding company that has provided WSP with a Surety Bond provided as Assurance of Payment hereunder has fallen below “B”, AT&T-21STATE will provide written Notice to WSP that WSP must provide a replacement bond or other suitable Assurance of Payment within fifteen (15) days of AT&T-21STATE’s written Notice. If WSP fails to comply with the foregoing, AT&T-21STATE thereafter shall be authorized to take action on the Surety Bond and utilize the cash proceeds as Assurance of Payment for WSP’s account(s). Notwithstanding anything contained in this Agreement to the contrary, AT&T-21STATE shall be authorized to draw down the full amount of any Letter of Credit or take action on any Surety Bond provided by WSP as Assurance of Payment hereunder if WSP defaults on its account(s) or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time, as required herein.
Appears in 1 contract
Samples: Telecommunications
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; oror Page 29 of 277 Contract Id: 4850312 Version: 2Q16 – ICA – 06/06/16
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 1 contract
Samples: Wholesale Agreement
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 1 contract
Samples: Telecommunications
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.. CN:07072017-8312 000028
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of SectionSection 10.4 above.
10.10 Notwithstanding anything else set forth in this Agreement, if AT&T-21STATE makes a request for assurance of payment in accordance with the terms of this Section 10.0 then AT&T-21STATE shall have no obligation thereafter to perform under this Agreement until such time as CLEC has furnished AT&T-21STATE with the assurance of payment requested; provided, however, that AT&T-21STATE will permit CLEC a minimum of fifteen (15) calendar days to respond to a request for assurance of payment before invoking this Section 10.0.
10.11 In the event CLEC fails to provide AT&T-21STATE with a suitable form of security deposit or additional security deposit as required herein, defaults on its account(s), or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time required, service to CLEC may be suspended, discontinued or terminated in accordance with the terms of Section 12.0 below. Upon termination of services, AT&T-21STATE shall apply any security deposit to CLEC’s final bill for its (account(s). If CLEC fails to furnish the requested adequate assurance of payment on or before the date set forth in the request, AT&T-21STATE may also invoke the provisions set forth in Section 12.0 below.
10.12 A Cash Deposit held by AT&T-21STATE shall be returned to CLEC if the following conditions have been met: CN:07072017-8312 000029
10.12.1 Payment was made on bills rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below) as of the Bill Due Date for all but one time during the prior twelve (12) month period and all payments were made with checks that were honored; and
10.12.2 There has been no impairment of the established credit and/or financial health from information available from financial sources, including but not limited to Moody’s, Standard and Poor’s, and the Wall Street Journal. Financial information about CLEC that may be considered includes, but is not limited to, investor warning briefs, rating downgrades, and articles discussing pending credit problems.
10.13 The fact that a Cash Deposit or Letter of Credit is requested by AT&T-21STATE shall in no way relieve CLEC from timely compliance with all payment obligations under this Agreement (including, but not limited to, recurring, non- recurring and usage sensitive charges, termination charges and advance payments), nor does it constitute a waiver or modification of the terms of this Agreement pertaining to disconnection or re-entry for non-payment of any amounts required to be paid hereunder.
10.14 At least seven (7) calendar days prior to the expiration of any Letter of Credit provided by CLEC as security under this Agreement, CLEC shall renew such Letter of Credit or provide AT&T-21STATE with evidence that CLEC has obtained a suitable replacement for the Letter of Credit. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to draw down the full amount of such Letter of Credit and utilize the cash proceeds as security for CLEC accounts(s). If CLEC provides a security deposit or additional security deposit in the form of a Surety Bond as required herein, CLEC shall renew the Surety Bond or provide AT&T-21STATE with evidence that CLEC has obtained a suitable replacement for the Surety Bond at least seven (7) calendar days prior to the cancellation date of the Surety Bond. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for CLEC’s account(s). If the credit rating of any bonding company that has provided CLEC with a Surety Bond provided as security hereunder has fallen below “B”, AT&T-21STATE will provide written Notice to CLEC that CLEC must provide a replacement bond or other suitable security within fifteen (15) calendar days of AT&T-21STATE’s written Notice. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for CLEC’s account(s). Notwithstanding anything contained in this Agreement to the contrary, AT&T-21STATE shall be authorized to draw down the full amount of any Letter of Credit or take action on any Surety Bond provided by CLEC as security hereunder if CLEC defaults on its account(s) or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time, as required herein.
Appears in 1 contract
Samples: Telecommunications
Assurance of Payment. 10.1 Upon request by AT&T-21STATEAT&T-22STATE, CLEC CARRIER will provide AT&T-21STATE AT&T-22STATE with the AT&T-21STATE AT&T-22STATE Credit Profile form and provide information to AT&T-21STATE AT&T 22STATE regarding CLECCARRIER’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATEAT&T-22STATE:
10.2.1 If based on AT&T-21STATEAT&T-22STATE’s analysis of the AT&T-21STATE AT&T-22STATE Credit Profile and other relevant information regarding CLECCARRIER’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLECCARRIER. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC CARRIER fails to timely pay a bill rendered to CLEC CARRIER by AT&T-21STATE AT&T-22STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC XXXXXXX has complied with all requirements set forth in Section 12.4 12.3 below); and/or
10.2.3 CLECCARRIER’s gross monthly billing has increased, AT&T-21STATE AT&T-22STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLECCARRIER’s “accounts receivables and proceeds”; ” or,
10.2.4 When CLEC CARRIER admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 1 contract
Samples: Telecommunications
Assurance of Payment. 10.1 30.1 Upon request by AT&T-21STATEAT&T, CLEC Attaching Party will provide AT&T-21STATE AT&T with the AT&T-21STATE AT&T Credit Profile form and provide Application form, which provides information to AT&T-21STATE AT&T regarding CLECAttaching Party’s credit and financial condition.
10.2 30.2 Assurance of payment may be requested by AT&T-21STATEAT&T, if or when:
10.2.1 If 30.2.1 based on AT&T-21STATEAT&T’s analysis of the AT&T-21STATE AT&T Credit Profile Application form and other relevant information regarding CLECAttaching Party’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLECAttaching Party. Such impairment will be determined from information available from Third Party third party financial sources; or
10.2.2 CLEC 30.2.2 Attaching Party fails to timely pay or dispute and put in escrow a bill rendered to CLEC Attaching Party by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below)AT&T; and/oror
10.2.3 CLEC30.2.3 Attaching Party’s gross monthly billing has increased, AT&T-21STATE AT&T reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLECAttaching Party’s “accounts receivables and proceeds”; or
10.2.4 When CLEC 30.2.4 Attaching Party admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 30.3 If AT&T-21STATE AT&T requires CLEC Attaching Party to provide a security deposit, CLEC Attaching Party shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATEAT&T’s request, as applicable. Deposit request notices will be sent to CLEC Attaching Party via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 30.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:consists of one of the following at AT&T’s sole discretion
10.4.1 30.4.1 a Cash Deposit; or
10.4.2 30.4.2 a Letter of Credit; or
10.4.3 30.4.3 a Surety Bond.
10.5 30.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to covering a minimum of three (3) months anticipated charges excluding pre-paid charges for Survey and Make-Ready Work (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges, charges for AT&T removal of Attaching Party’s equipment pursuant to this Agreement, and advance payments), as reasonably determined by AT&T-21STATEAT&T, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services (“service”) to be furnished by AT&T-21STATE AT&T under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC Attaching Party has received service from AT&T-21STATE AT&T during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC Attaching Party or AT&T-21STATE AT&T has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC Attaching Party and AT&T-21STATE AT&T shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 30.6 To the extent that AT&T-21STATE AT&T elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE 30.7 AT&T may, but is not obligated to, draw on the Letter of Credit Credit, cash the Surety Bond, or apply the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC 30.7.1 Attaching Party owes AT&T-21STATE undisputed AT&T charges and fees under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC 30.7.2 Attaching Party admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. U.S Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 30.7.3 The expiration or termination of this Agreement.
10.9 30.8 If AT&T-21STATE AT&T draws on the Letter of Credit or applies the Cash Deposit, upon request by AT&T-21STATEAT&T, CLEC Attaching Party will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements above.
30.9 Notwithstanding anything else set forth in this Agreement, if AT&T makes a request for assurance of payment in accordance with the terms of this Section then AT&T shall have no obligation thereafter to perform under this Agreement until such time as Attaching Party has furnished AT&T with the assurance of payment requested; provided, however, that AT&T will permit Attaching Party a minimum of fifteen(15) calendar days to respond to a request for assurance of payment before invoking this Section.
30.10 In the event Attaching Party fails to provide AT&T with a suitable form of security deposit or additional security deposit as required herein, defaults on its account(s), or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time required, service to Attaching Party may be suspended, discontinued or terminated in accordance with the terms of this Agreement. Upon termination of services, AT&T shall apply any security deposit to Attaching Party’s final bill for its account(s). If Attaching Party fails to furnish the requested adequate assurance of payment on or before the date set forth in the request, AT&T may also invoke the provisions set forth in this Agreement.
30.11 A Cash Deposit held by AT&T shall be returned to Attaching Party if the following conditions have been met:
30.11.1 Payment was made in accordance with this Agreement on bills rendered to Attaching Party by AT&T as of the Bill Due Date for all but one time during the prior twelve month period and all payments were made with checks that were honored and,
30.11.2 There has been no impairment of the established credit and/or financial health from information available from financial sources, including but not limited to Moody’s, Standard and Poor’s, and the Wall Street Journal. Financial information about Attaching Party that may be considered includes, but is not limited to, investor warning briefs, rating downgrades, and articles discussing pending credit problems.
30.12 The fact that a Cash Deposit, Surety Bond or Letter of Credit is requested by AT&T shall in no way relieve Attaching Party from timely compliance with all payment obligations under this Agreement (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), nor does it constitute a waiver or modification of the terms of this Agreement pertaining to disconnection or re- entry for non-payment of any amounts required to be paid hereunder.
30.13 At least seven (7) calendar days prior to the expiration of any Letter of Credit provided by Attaching Party as security under this Agreement, Attaching Party shall renew such Letter of Credit or provide AT&T with evidence that Attaching Party has obtained a suitable replacement for the Letter of Credit. If Attaching Party fails to comply with the foregoing, AT&T shall thereafter be authorized to draw down the full amount of such Letter of Credit and utilize the cash proceeds as security for Attaching Party account(s). If Attaching Party provides a security deposit or additional security deposit in the form of a Surety Bond as required herein, Attaching Party shall renew the Surety Bond or provide AT&T with evidence that Attaching Party has obtained a suitable replacement for the Surety Bond at least seven (7) calendar days prior to the cancellation date of the Surety Bond. If Attaching Party fails to comply with the foregoing, AT&T shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for Attaching Party’s account(s). If the credit rating of any bonding company that has provided Attaching Party with a Surety Bond provided as security hereunder has fallen below “B”, AT&T will provide written Notice to Attaching Party that Attaching Party must provide a replacement bond or other suitable security within fifteen (15) calendar days of AT&T’s written Notice. Notwithstanding anything contained in this Agreement to the contrary, AT&T shall be authorized to draw down the full amount of any Letter of Credit or take action on any Surety Bond provided by Attaching Party as security hereunder if Attaching Party defaults on its account(s) or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time, as required herein.
Appears in 1 contract
Samples: Telecommunications
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC 9.1 WSP will provide AT&T-21STATE with the completed AT&T-21STATE Credit Profile Application form and provide information to AT&T-21STATE regarding CLECWSP’s credit and financial condition.
10.2 9.2 Assurance of payment Payment may be requested by AT&T-21STATEAT&T-21STATE when:
10.2.1 If 9.2.1 WSP has no established credit history with AT&T or WSP’s credit, financial condition, or credit worthiness is impaired as reasonably determined by AT&T-21STATE based on AT&T-21STATE’s its analysis of the AT&T-21STATE Credit Profile Application and other relevant information from WSP or Third Party financial sources regarding CLECWSP’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC 9.2.2 WSP fails to pay timely pay a bill rendered to CLEC WSP by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC WSP has complied with all requirements set forth in Section 12.4 11.4 below); and/oror CN:04072021-10285 000023
10.2.3 CLEC9.2.3 WSP’s gross monthly billing has increased. In such instance, AT&T-21STATE reserves the right to request additional security Assurance of Payment (or to require a security deposit an Assurance of Payment if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLECWSP’s “accounts receivables and proceeds”; or
10.2.4 When CLEC 9.2.4 WSP admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 9.3 If AT&T-21STATE requires CLEC WSP to provide a security depositan Assurance of Payment, CLEC WSP shall provide such security deposit Assurance of Payment prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit Assurance of Payment request notices Notices will be sent to CLEC WSP via certified mail or overnight delivery. Such notice Notice period will start the day after the deposit request notice Assurance of Payment Notice is rendered sent by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 9.4 Unless otherwise agreed by the Parties, the assurance Assurance of payment Payment will consist of:
10.4.1 9.4.1 a Cash Deposit; or
10.4.2 9.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 1 contract
Samples: Telecommunications
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.. Page 29 of 276 Contract Id: 4800340 Version: 1Q16 – ICA – 03/10/16
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of SectionSection 10.4 above.
10.10 Notwithstanding anything else set forth in this Agreement, if AT&T-21STATE makes a request for assurance of payment in accordance with the terms of this Section 10.0 then AT&T-21STATE shall have no obligation thereafter to perform under this Agreement until such time as CLEC has furnished AT&T-21STATE with the assurance of payment requested; provided, however, that AT&T-21STATE will permit CLEC a minimum of fifteen (15) calendar days to respond to a request for assurance of payment before invoking this Section 10.0.
10.11 In the event CLEC fails to provide AT&T-21STATE with a suitable form of security deposit or additional security deposit as required herein, defaults on its account(s), or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time required, service to CLEC may be suspended, discontinued or terminated in accordance with the terms of Section 12.0 below. Upon termination of services, AT&T-21STATE shall apply any security deposit to CLEC’s final bill for its account(s). If CLEC fails to furnish the requested adequate assurance of payment on or before the date set forth in the request, AT&T-21STATE may also invoke the provisions set forth in Section 12.0 below.
10.12 A Cash Deposit held by AT&T-21STATE shall be returned to CLEC if the following conditions have been met:
10.12.1 Payment was made on bills rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth Page 30 of 276 Contract Id: 4800340 Version: 1Q16 – ICA – 03/10/16 in Section 12.4 below) as of the Bill Due Date for all but one time during the prior twelve (12) month period and all payments were made with checks that were honored; and
10.12.2 There has been no impairment of the established credit and/or financial health from information available from financial sources, including but not limited to Moody’s, Standard and Poor’s, and the Wall Street Journal. Financial information about CLEC that may be considered includes, but is not limited to, investor warning briefs, rating downgrades, and articles discussing pending credit problems.
10.13 The fact that a Cash Deposit or Letter of Credit is requested by AT&T-21STATE shall in no way relieve CLEC from timely compliance with all payment obligations under this Agreement (including, but not limited to, recurring, non- recurring and usage sensitive charges, termination charges and advance payments), nor does it constitute a waiver or modification of the terms of this Agreement pertaining to disconnection or re-entry for non-payment of any amounts required to be paid hereunder.
10.14 At least seven (7) calendar days prior to the expiration of any Letter of Credit provided by CLEC as security under this Agreement, CLEC shall renew such Letter of Credit or provide AT&T-21STATE with evidence that CLEC has obtained a suitable replacement for the Letter of Credit. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to draw down the full amount of such Letter of Credit and utilize the cash proceeds as security for CLEC accounts(s). If CLEC provides a security deposit or additional security deposit in the form of a Surety Bond as required herein, CLEC shall renew the Surety Bond or provide AT&T-21STATE with evidence that CLEC has obtained a suitable replacement for the Surety Bond at least seven (7) calendar days prior to the cancellation date of the Surety Bond. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for CLEC’s account(s). If the credit rating of any bonding company that has provided CLEC with a Surety Bond provided as security hereunder has fallen below “B”, AT&T-21STATE will provide written Notice to CLEC that CLEC must provide a replacement bond or other suitable security within fifteen (15) calendar days of AT&T-21STATE’s written Notice. If CLEC fails to comply with the foregoing, AT&T-21STATE shall thereafter be authorized to take action on the Surety Bond and utilize the cash proceeds as security for CLEC’s account(s). Notwithstanding anything contained in this Agreement to the contrary, AT&T-21STATE shall be authorized to draw down the full amount of any Letter of Credit or take action on any Surety Bond provided by CLEC as security hereunder if CLEC defaults on its account(s) or otherwise fails to make any payment or payments required under this Agreement in the manner and within the time, as required herein.
Appears in 1 contract
Samples: Wholesale Agreement
Assurance of Payment. 10.1 9.1 Upon request by AT&T-21STATEAT&T-22STATE, CLEC CMRS Provider will provide AT&T-21STATE AT&T-22STATE with the AT&T-21STATE AT&T-22STATE Credit Profile form and provide information to AT&T-21STATE AT&T-22STATE regarding CLECCMRS Provider’s credit and financial condition.
10.2 9.2 Assurance of payment may be requested by AT&T-21STATEAT&T-22STATE:
10.2.1 9.2.1 If based on AT&T-21STATEAT&T-22STATE’s analysis of the AT&T-21STATE AT&T-22STATE Credit Profile and other relevant information regarding CLECCMRS Provider’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLECCMRS Provider. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC 9.2.2 CMRS Provider fails to timely pay a bill xxxx rendered to CLEC CMRS Provider by AT&T-21STATE AT&T-22STATE (except such portion of a bill xxxx that is subject to a good faith, bona fide dispute and as to which CLEC CMRS Provider has complied with all requirements set forth in Section 12.4 11.4 below); and/or
10.2.3 CLEC9.2.3 CMRS Provider’s gross monthly billing has increased, AT&T-21STATE AT&T-22STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLECCMRS Provider’s “accounts receivables and proceeds”; ” or;
10.2.4 9.2.4 When CLEC CMRS Provider admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 9.3 If AT&T-21STATE AT&T-22STATE requires CLEC CMRS Provider to provide a security deposit, CLEC CMRS Provider shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATEAT&T-22STATE’s request, as applicable. Deposit request notices will be sent to CLEC CMRS Provider via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATEAT&T- 22STATE’s applicable Tarifftariff.
10.4 9.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 9.4.1 a Cash Deposit; Deposit or
10.4.2 9.4.2 a Letter of Credit; Credit or
10.4.3 9.4.3 a Surety Bond.
10.5 9.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATEAT&T-22STATE, for the Interconnection Servicesproduct and/or services, 251(c)(3) UNEs, and Collocation or any other functions, facilities, products or and/or services to be furnished by AT&T-21STATE AT&T-22STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC CMRS Provider has received service from AT&T-21STATE AT&T-22STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC CMRS Provider or AT&T-21STATE AT&T-22STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC CMRS Provider and AT&T-21STATE AT&T-22STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 9.6 To the extent that AT&T-21STATE AT&T-22STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 1 contract
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 1 contract
Samples: Wholesale Agreement
Assurance of Payment. 10.1 16.1 Upon request by AT&T-21STATEAT&T-22STATE, CLEC Carrier will provide AT&T-21STATE AT&T-22STATE with the AT&T-21STATE a completed AT&T-22STATE Credit Profile form and provide information to AT&T-21STATE AT&T-22STATE regarding CLECXxxxxxx’s credit and financial condition.
10.2 16.2 Assurance of payment may be requested by AT&T-21STATEAT&T-22STATE:
10.2.1 16.2.1 If based on AT&T-21STATEAT&T-22STATE’s analysis of the AT&T-21STATE AT&T-22STATE Credit Profile and other relevant information regarding CLECXxxxxxx’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLECCarrier. Such impairment will may be determined from information available from Third Party financial sources; or
10.2.2 CLEC 16.2.2 If Carrier fails to timely pay a bill rendered to CLEC Carrier by AT&T-21STATE AT&T-22STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC Xxxxxxx has complied with all requirements set forth in Section 12.4 18.4 below); and/oror
10.2.3 CLEC16.2.3 If Xxxxxxx’s gross monthly billing has increased, AT&T-21STATE then AT&T-22STATE reserves the right to request additional security (or to require a security deposit if none was previously requestedobtained) and/or file a Uniform Commercial Code (UCC-1) security interest in CLECCarrier’s “accounts receivables and proceeds”; or
10.2.4 16.2.4 When CLEC Xxxxxxx admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 1 contract
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code CN:03232023-11438 000028 (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx billings are calculated based upon the monthly average of the previous six (6) months current xxxxxxxxbillings, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx billings based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 1 contract
Samples: Telecommunications
Assurance of Payment. 10.1 Upon request by AT&T-21STATEbyAT&T-22STATE, CLEC CARRIER will provide AT&T-21STATE with provideAT&T-22STATEwith the AT&T-21STATE Credit AT&T-22STATECredit Profile form and provide information to AT&T-21STATE regarding CLECtAoT&T-22STATEregarding CARRIER’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATEbAyT&T-22STATE:
10.2.1 If based on AT&T-21STATEonAT&T-22STATE’s analysis of the AT&T-21STATE Credit theAT&T-22STATECredit Profile and other relevant information regarding CLECCARRIER’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLECCARRIER. Such impairment will be determined bdeetermined from information available from Third informaotni Party financial sources; oror available from Third
10.2.2 CLEC CARRIER fails to timely pay a bill rendered to CLEC by AT&T-21STATE (except CARRIER AbyT&T-22STATE(except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC CARRIER has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLECCARRIER’s gross monthly billing has increased, AT&T-21STATE reserves increaseAdT,&T-22STATEreserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLECCARRIER’s “accounts receivables and proceeds”; or
10.2.4 When CLEC CARRIER admits its inability to pay its debts as such debtssausch debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 1 contract
Samples: Clec Agreement
Assurance of Payment. 10.1 Upon request by AT&T-21STATE, CLEC will provide AT&T-21STATE with the AT&T-21STATE Credit Profile form and provide information to AT&T-21STATE regarding CLEC’s credit and financial condition.
10.2 Assurance of payment may be requested by AT&T-21STATE:
10.2.1 If based on AT&T-21STATE’s analysis of the AT&T-21STATE Credit Profile and other relevant information regarding CLEC’s credit and financial condition, there is an impairment of the credit, financial health, or credit worthiness of CLEC. Such impairment will be determined from information available from Third Party financial sources; or
10.2.2 CLEC fails to timely pay a bill rendered to CLEC by AT&T-21STATE (except such portion of a bill that is subject to a good faith, bona fide dispute and as to which CLEC has complied with all requirements set forth in Section 12.4 below); and/or
10.2.3 CLEC’s gross monthly billing has increased, AT&T-21STATE reserves the right to request additional security (or to require a security deposit if none was previously requested) and/or file a Uniform Commercial Code (UCC-1) security interest in CLEC’s “accounts receivables and proceeds”; or
10.2.4 When CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding.
10.3 If AT&T-21STATE requires CLEC to provide a security deposit, CLEC shall provide such security deposit prior to the inauguration of service or within fifteen (15) calendar days of AT&T-21STATE’s request, as applicable. Deposit request notices will be sent to CLEC via certified mail or overnight delivery. Such notice period will start the day after the deposit request notice is rendered by certified mail or overnight delivery. Interest on a cash security deposit shall accrue and be applied or refunded in accordance with the terms in AT&T-21STATE’s applicable Tariff.
10.4 Unless otherwise agreed by the Parties, the assurance of payment will consist of:
10.4.1 a Cash Deposit; or
10.4.2 a Letter of Credit; or
10.4.3 a Surety Bond.
10.5 The Cash Deposit, Letter of Credit or Surety Bond must be in an amount up to three (3) months anticipated charges (including, but not limited to, recurring, non-recurring and usage sensitive charges, termination charges and advance payments), as reasonably determined by AT&T-21STATE, for the Interconnection Services, 251(c)(3) UNEs, Collocation or any other functions, facilities, products or services to be furnished by AT&T-21STATE under this Agreement. Estimated xxxxxxxx are calculated based upon the monthly average of the previous six (6) months current xxxxxxxx, if CLEC has received service from AT&T-21STATE during such period at a level comparable to that anticipated to occur over the next six (6) months. If either CLEC or AT&T-21STATE has reason to believe that the level of service to be received during the next six (6) months will be materially higher or lower than received in the previous six (6) months, CLEC and AT&T-21STATE shall agree on a level of estimated xxxxxxxx based on all relevant information.
10.6 To the extent that AT&T-21STATE elects to require a Cash Deposit, the Parties intend that the provision of such Cash Deposit shall constitute the grant of a security interest in the Cash Deposit pursuant to Article 9 of the Uniform Commercial Code in effect in any relevant jurisdiction.
10.7 Interest on a Cash Deposit shall accrue and be applied or refunded in accordance with the terms in the appropriate AT&T-21STATE Tariff. AT&T-21STATE will not pay interest on a Letter of Credit or a Surety Bond.
10.8 AT&T-21STATE may, but is not obligated to, draw on the Letter of Credit or the Cash Deposit, as applicable, upon the occurrence of any one of the following events:
10.8.1 CLEC owes AT&T-21STATE undisputed charges under this Agreement that are more than thirty (30) calendar days past due; or
10.8.2 CLEC admits its inability to pay its debts as such debts become due, has commenced a voluntary case (or has had an involuntary case commenced against it) under the U.S. Bankruptcy Code or any other law relating to insolvency, reorganization, winding-up, composition or adjustment of debts or the like, has made an assignment for the benefit of creditors or is subject to a receivership or similar proceeding; or
10.8.3 The expiration or termination of this Agreement.
10.9 If AT&T-21STATE draws on the Letter of Credit or Cash Deposit, upon request by AT&T-21STATE, CLEC will provide a replacement or supplemental Letter of Credit, Surety Bond or Cash Deposit conforming to the requirements of Section
Appears in 1 contract
Samples: Wholesale Agreement
