Balancing Deposits Sample Clauses
The Balancing Deposits clause establishes the requirement for parties to adjust or reconcile deposit amounts to ensure they accurately reflect agreed-upon obligations or account balances. In practice, this may involve one party providing additional funds or receiving a refund if the initial deposit does not match the final calculated amount after certain conditions are met, such as completion of services or delivery of goods. This clause helps prevent disputes by ensuring that deposits are fairly managed and that neither party is left at a financial disadvantage due to over- or underpayment.
Balancing Deposits. Within 10 days after written notice from Administrative Agent that the Loans are not “in balance,” and prior to any subsequent Advance, Borrower shall deposit or cause to be deposited sufficient funds with Collateral Agent to bring the Loans “in balance” as determined by Administrative Agent. Any amounts so deposited will be held by Collateral Agent in Construction Account – Building Loan under the Collateral Account Pledge Agreement. Any amounts so deposited to correct a deficiency described in Section 2.06(a)(i) or 2.06(a)(ii)(A) above (a “Non-Interest Balancing Deposit”) shall be disbursed for the payment of Project Costs (other than interest on the Loans) before any additional Advances are made for such Project Costs. Any amounts so deposited to correct a deficiency described in Section 2.06(a)(ii) above (an “Interest Balancing Deposit”) shall be disbursed for the payment of interest on the Loans before any additional Advances are made therefor. Any amounts so deposited to correct a deficiency described in Section 2.06(a)(iii) above (a “Proton System Balancing Deposit”) shall be held in the Facility Lessee Construction Account and disbursed for the payment of amounts due on the Proton System Purchase Agreement. Disbursements of Balancing Deposits shall be subject to the same conditions as would be applicable to an Advance hereunder. Upon the occurrence and during the continuance of a Default, Administrative Agent may apply all or any portion of any Borrower Balancing Deposit (including accrued interest thereon) to the payment of the Obligations or any Project Costs. Borrower shall have the right to deliver an irrevocable standby letter of credit to Administrative Agent in the amount of any required Balancing Deposit in lieu of depositing cash therefor so long as such letter of credit (i) is issued by a Qualified Financial Institution, (ii) permits draws upon delivery of sight drafts by Administrative Agent in order to facilitate the disbursements contemplated hereby in the same manner as if cash were deposited with Administrative Agent for the required Balancing Deposit, and (iii) is otherwise in form and substance satisfactory to Administrative Agent. In the event Administrative Agent makes a demand for a Balancing Deposit hereunder as a result of a casualty or condemnation, any insurance or condemnation proceeds held by Administrative Agent and available for disbursement for construction or reconstruction in accordance with Section 7.01(g) and Sectio...
Balancing Deposits. Within 10 days after written notice from Administrative Agent that the Loans are not “in balance,” and prior to any subsequent Advance, Borrower shall deposit or cause to be deposited sufficient funds with Collateral Agent to bring the Loans “in balance” as determined by Administrative Agent. Any amounts so deposited will be held by Collateral Agent in Construction Account – Project Loan under the Collateral Account Pledge Agreement. Any amounts so deposited to correct a deficiency described in Section 2.06(a)(i) or 2.06(a)(ii)(A) above (a “Non-Interest Balancing Deposit”) shall be disbursed for the payment of Project Costs (other than interest on the Loans) before any additional Advances are made for such Project Costs. Any amounts so deposited to correct a deficiency described in Section 2.06(a)(ii) above (an “Interest Balancing Deposit”) shall be disbursed for the payment of interest on the Loans before any additional Advances are made therefor. Any amounts so deposited to correct a deficiency described in Section 2.06(a)(iii) above (a “Proton System Balancing Deposit”) shall be held in the Facility Lessee Construction Account and disbursed for the payment of amounts due on the Proton System Purchase Agreement. Disbursements of Balancing Deposits shall be subject to the same conditions as would be applicable to an Advance