AVC Underutilization and Termination with Liability. If, in any contract year during the Initial Term, the Customer's Total Service Charges do not meet or exceed the AVC, then the Customer shall pay: (a) all accrued but unpaid usage and other charges incurred under the Agreement; and (b) an "Underutilization Charge" in an amount equal to 25% of the difference between the AVC and the Customer’s Total Service Charges during each contract year. If, in any monthly billing period during the Extended Term, the Customer's Total Service Charges do not meet or exceed 1/2 of the AVC then the Customer shall pay (a) all accrued but unpaid usage and other charges incurred under the Agreement, and (b) an “Underutilization Charge” equal to 25% of the difference between 1/12 of the AVC and the Customer’s Total Service Charges such monthly billing period. If (a) the Customer terminates the Agreement before the end of the Term for reasons other than Cause; or (b) the Company terminates the Agreement for Cause then the Customer will pay, within 30 days after such termination: (i) all accrued but unpaid charges incurred through the date off such termination, plus (ii) an amount equal to 25% of the AVC for each contract year (and a pro rata portion thereof for any partial contract year) remaining in the unexpired portion of the Initial Term on the date of such termination, plus (iii) a pro rata portion of any and all credits received by Customer.
Appears in 1 contract
Samples: Option No. 238995
AVC Underutilization and Termination with Liability. IfIn, in any contract year Contract Year during the Initial Term, the Customer's ’s Total Service Charges do not meet or exceed the AVC, then the Customer shall pay: (a) all accrued but unpaid usage and other charges incurred under the this Agreement; and (b) an "“Underutilization Charge" ” in an amount equal to 25% of the difference between the AVC and the Customer’s Total Service Charges during each contract yearsuch Contract Year. If, in any monthly billing period during the Extended Term, the Customer's Total Service Charges do not meet or exceed 1/2 of the AVC then the Customer shall pay : (a) all accrued but unpaid usage and other charges incurred under the Agreement, and (b) an “Underutilization Charge” equal to 25% of the difference between 1/12 of the AVC and the Customer’s Total Service Charges such monthly billing period. If (a) the Customer terminates this Agreement during the Agreement before the end of the Initial Term for reasons other than Cause; or (b) the Company MCI terminates the this Agreement for Cause pursuant to the Sections entitled “Termination for Cause” or “Termination by Company,” then the Customer will pay, within 30 days after such termination: (i) all accrued but unpaid charges incurred through the date off of such termination, ; plus (ii) an amount equal to 25% of the AVC for each contract year Contract Year (and a pro rata portion thereof for any partial contract yearContract Year) remaining in the unexpired portion of the Initial Term on the date of such termination, plus (iii) a pro rata portion of any and all credits received by Customer. If, in any monthly billing period during the Extended Term, Customer’s Total Service Charges do not meet or exceed one-twelfth (1/12) of the AVC then Customer shall pay: (a) all accrued but unpaid usage and other charges in incurred under this Agreement, and (b) an “Underutilization Charge” equal to the difference between one-twelfth (1/12) of the AVC and Customer’s Total Service Charges during such monthly billing period.
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Samples: Service Agreement
AVC Underutilization and Termination with Liability. If, in any contract year during the Initial Termyear, the Customer's Total Service Charges do not meet or exceed the AVC, then the Customer shall pay: (a) all accrued but unpaid usage and other charges incurred under the Agreement; and (b) an "Underutilization Charge" in an amount equal to 25% of the difference between the AVC and the Customer’s Total Service Charges during each contract year. If, in any monthly billing period during the Extended Term, the Customer's Total Service Charges do not meet or exceed 1/2 of the AVC then the Customer shall pay during that contract year. If: (a) all accrued but unpaid usage and other charges incurred under the Agreement, and (b) an “Underutilization Charge” equal to 25% of the difference between 1/12 of the AVC and the Customer’s Total Service Charges such monthly billing period. If (a) the Customer terminates the Agreement before the end of the Term for reasons other than CauseCause (as defined in the Agreement); or (b) the Company terminates the Agreement for Cause then the Customer will pay, within 30 thirty (30) days after such termination: (i) all accrued but unpaid charges incurred through the date off of such termination, plus (ii) an amount equal to 2550% of the unsatisfied AVC remaining during the year of termination, and for each subsequent contract year (and a pro rata portion thereof for any partial contract year) remaining in the unexpired portion of the Initial Term on the date of such terminationTerm, plus (iii) a pro rata portion of any and all credits received by Customer. In addition, if, in any monthly billing period during the Extended Term, Customer's Total Service Charges do not meet or exceed the Extended Term Volume Commitment, then Customer shall pay: (a) all accrued but unpaid charges incurred under the Agreement; and (b) an "Underutilization Charge" equal to the difference between the Extended Term Volume Commitment and Customer's Total Service Charges during such monthly billing period.
Appears in 1 contract
Samples: Amendment 28
AVC Underutilization and Termination with Liability. If, in any contract year during the Initial Term, the Customer's ’s Total Service service Charges do not meet or exceed the AVC, then the Customer shall pay: pay (a) all accrued but unpaid usage and other charges incurred under the Agreement; agreement and (b) an "Underutilization Charge" underutilization charge in an amount equal to 25% of the difference between the AVC and the Customer’s Total Service Charges during each contract year. If, in any monthly billing period total service charges during the Extended Term, the Customer's Total Service Charges do not meet or exceed 1/2 of the AVC then the Customer shall pay (a) all accrued but unpaid usage and other charges incurred under the Agreement, and (b) an “Underutilization Charge” equal to 25% of the difference between 1/12 of the AVC and the Customer’s Total Service Charges such monthly billing period. If (a) the Customer terminates the Agreement agreement before the end of the Initial Term for reasons other than Cause; cause or (b) the Company terminates the Agreement agreement for Cause then cause, the Customer will pay, within 30 days after such termination: (i) all accrued but unpaid charges incurred through the date off of such termination, plus (ii) an amount equal to 25% of the difference AVC for each contract year (and a pro rata portion thereof for any partial contract year) remaining in the unexpired portion of the Initial Term on the date of such termination, plus (iii) a pro rata portion of any and all credits received by the Customer. If, during the first annual period, the Customer s total service charges do not meet or exceed the First Annual Period AVC, the Customer will be billed and required to pay: (i) all accrued but unpaid charges incurred under the agreement and, (b) an underutilization charge in an amount equal to 25% of the difference between the First Annual Period AVC and the Customer’s total service usage charges for the first annual period of the Term. If, in any monthly billing period during the Extended Term, Customer's Total Service Charges do not meet or exceed 1/12 of the AVC then Customer shall pay: (a) all accrued but unpaid usage and other charges incurred under this Agreement, and (b) an "Underutilization Charge" equal to 25% of the difference b between 1/12 of the AVC and Customer's Total Service Charges during such monthly billing period. Fund Deposit: Customer will receive a credit of $60,000.00, to be applied to Customer’s Fund account.
Appears in 1 contract
Samples: Service Agreement