Common use of Calling on Bank Guarantee Clause in Contracts

Calling on Bank Guarantee. (a) Notwithstanding any other provision herein, the Council may call on the Bank Guarantee in the event that the Developer: (i) fails to make the Development Contribution in accordance with this Agreement; or (ii) breaches any other term or condition of this Agreement and fails to remedy the relevant failure or breach within 7 days after the Council’s notice. (b) If the Council calls on the Bank Guarantee as a result of the Developer’s failure to comply with its obligations herein at no cost to Council under this Agreement, then the Council will apply the amount received pursuant to its claim on the Bank Guarantee towards: (i) the Council’s costs and expenses the Developer is responsible to pay under clause 18.2 together with the costs and expenses incurred by Council rectifying any default by the Developer under this Agreement; and (ii) carrying out any works required to achieve the Public Purpose. (c) If the Council calls on the Bank Guarantee and the costs incurred in clause 12.3(b) exceed the amount of the Bank Guarantee, then the amount that exceeds the amount of the Bank Guarantee will be a debt owed by the Developer to the Council and payable immediately upon demand.

Calling on Bank Guarantee. (a) Notwithstanding any other provision herein, the Council may call on the Bank Guarantee in the event that the Developer: (i) fails to make the Development Contribution in accordance with this Agreement; or (ii) breaches any other term or condition of this Agreement and fails to remedy the relevant failure or breach within 7 days after the Council’s notice. (b) If the Council calls on the Bank Guarantee as a result of the Developer’s failure to comply with its obligations herein at no cost to Council under this Agreement, then the Council will apply the amount received pursuant to its claim on the Bank Guarantee towards: (i) the Council’s costs and expenses the Developer is responsible to pay under clause 18.2 together with the costs and expenses incurred by Council rectifying any default by the Developer under this Agreement; and (ii) carrying out any works required to achieve the Public Purpose. (c) If the Council calls on the Bank Guarantee and the costs incurred in clause 12.3(b) exceed the amount of the Bank Guarantee, then the amount that exceeds the amount of the Bank Guarantee will be deemed as a debt owed by the Developer to the Council and payable immediately upon demandCouncil.

Calling on Bank Guarantee. (a) Notwithstanding any other provision herein, the The Council may call on the Bank Guarantee in the event that the Developer: (i) fails to make deliver any part of the Development Contribution Contributions in accordance with this AgreementDeed or any other amount payable under this Deed by its due date; or (ii) breaches any other term or condition of this Agreement Deed, and fails to remedy the relevant failure or breach within 7 days after the Council’s notice. (b) If the Council calls on the Bank Guarantee as a result of the Developer’s failure to comply with its obligations herein at no cost to Council deliver any part of the Development Contributions due under this AgreementDeed, then the Council will apply the amount received pursuant to its claim on the Bank Guarantee towards: (i) towards the CouncilDeveloper’s costs obligation to deliver the Development Contributions and expenses will deduct that amount from the total amount payable under this Deed. In those circumstances, the Developer is responsible will be required to pay under clause 18.2 together with to the costs Council any outstanding balance of the Development Contributions and expenses incurred by Council rectifying any default by the Developer other amounts payable under this Agreement; and (ii) carrying out any works required to achieve Deed. For the Public Purpose. (c) If sake of clarity the Council calls on calling upon the Bank Guarantee and the costs incurred in clause 12.3(b) exceed the amount of the Bank Guarantee, then the amount that exceeds the amount of the Bank Guarantee will be a debt owed by Council does not absolve the Developer from its obligations to the deliver to Council and payable immediately upon demandall Development Contributions in accordance with this Deed.