Common use of Before first drawdown Clause in Contracts

Before first drawdown. On a Ship becoming a Total Loss or suffering damage or being involved in an incident which in the reasonable opinion of the Agent may result in such Ship being subsequently determined to be a Total Loss or on the Contract for a Ship being assigned, transferred, sold or novated to and in favour of any person, in each case before any Contract Instalment Advance for such Ship is drawn down, the obligation of the Banks to advance any Contract Instalment Advance for such Ship (or part thereof) shall immediately cease and the Total Commitment shall be reduced accordingly.

Before first drawdown. On a Ship becoming a Total Loss or suffering damage or being involved in an incident which in the reasonable opinion of the Agent may result in such Ship being subsequently determined to be a Total Loss or on the Contract for a Ship being assigned, transferred, sold or novated to and or in favour of any person, in each case before any Contract Instalment Advance for such Ship is drawn down, the obligation of the Banks to advance any Contract Instalment Advance for such Ship (or part thereof) shall immediately cease and the Total Commitment shall be reduced accordingly.

Before first drawdown. On a Ship becoming a Total Loss or suffering damage or being involved in an incident which in the reasonable opinion of the Agent may result in such Ship being subsequently determined to be a Total Loss or on the Contract for a Ship being assigned, transferred, sold or novated to and in favour of any person, in each case before any Contract Instalment Advance for such Ship is drawn down, the obligation of the Banks to advance any Contract Instalment Advance for such Ship (or part thereof) shall immediately cease and the Total Commitment shall be reduced accordinglyby the amount of the Tranche for such Ship.