Common use of Auditing Rights Clause in Contracts

Auditing Rights. Licensor shall have the right, in each calendar year, at its own expense and upon due notice to the Trusts, to have an accountant audit, during normal business hours and at the Trusts' designated place of business, the books and records of each Trust which relate to the determination of the Up Asset Amount and Down Asset Amount, respectively, in order to verify the daily Up Asset Amount and Down Asset Amount on the basis of which the Licensing Fees are paid. In the event that any discrepancies are found Licensees shall each be jointly and severally responsible to pay to Licensor promptly any amount due and unpaid. To the extent that the amount due and unpaid has been found to exceed 5% of the amount that should have been paid during the preceding year from the auditing day, Licensees shall each be jointly and severally responsible to pay the amount due promptly together with a penalty interest rate in the amount of prime rate plus 2% per month.

Auditing Rights. Licensor shall have the right, in each calendar year, at its own expense and upon due notice to the Holding Trusts and Tradable Trusts, to have an accountant audit, audit during normal business hours and at the Holding Trusts' and Tradable Trusts' designated place of business, the books and records of each Holding Trust and Tradable Trust, which relate to the determination asset amount of the Up Asset Amount and Down Asset Amount, respectivelyTrusts, in order to verify the daily Up Asset Amount and Down Asset Amount of the Trusts based on the basis of which the Licensing Fees are paid. In the event that any discrepancies are found Licensees shall each be jointly and severally responsible to pay to Licensor promptly any amount due and unpaid. To the extent that the amount due and unpaid has been found to exceed 5% of the amount that should have been paid during the preceding year from the auditing day, Licensees shall each be jointly and severally responsible to pay the amount due promptly together with a penalty interest rate in the amount of prime rate plus 2% per month.