Common use of Builder’s Termination Clause in Contracts

Builder’s Termination. The Builder shall have the right to terminate this Contract forthwith upon giving notice to the Buyer in the event that: (i) The guarantor providing the Instalment Guarantee on behalf of the Buyer under Clause 14(a) (Buyer’s Instalment Guarantee) is deemed insolvent pursuant to Sub-Clause (d) below, unless the Buyer can provide a replacement Instalment Guarantee acceptable to the Builder within 30 days and provided that notice of termination is given before an acceptable Buyer’s Instalment Guarantee is received by the Builder; or (ii) The Buyer fails to pay any sums due under this Contract for a period of twenty-one (21) Banking Days provided that the Builder thereafter gives the Buyer at least 5 Banking Days' notice of its intention to terminate under this Clause, and within that period the Buyer fails to remedy the breach and provided that notice of termination is given before the Buyer pays the outstanding sums due, or (iii) The Buyer fails to take delivery of the Vessel tendered in accordance with this Contract; or (iv) The Buyer is in breach of Clause 14 (Guarantees)