Common use of Catastrophic Loss of Collateral Clause in Contracts

Catastrophic Loss of Collateral. In connection with any catastrophic loss of Collateral (any loss other than a normal handling loss), at the election of MSCG in its sole discretion, either (i) the Payment Date in respect of the purchase by TRC from MSCG of the volume of Crude Oil that constituted such Collateral shall be accelerated to the date of such loss or (ii) TRC shall immediately replace the Collateral subject to the loss with additional Collateral or other Security having an equal or greater value. In the case of (i), the pricing of the Crude Oil shall be based on the then current price for such volume determined in accordance with Schedule 5.

Catastrophic Loss of Collateral. In connection with any catastrophic loss of Collateral (any loss other than a normal handling loss), at the election of MSCG in its sole discretion, either (i) the Payment Date in respect of the purchase by TRC PBF from MSCG of the volume of Crude Oil that constituted such Collateral shall be accelerated to the date of such loss or (ii) TRC PBF shall immediately replace the Collateral subject to the loss with additional Collateral or other Security having an equal or greater value. In the case of subclause (i), the pricing of the Crude Oil shall be based on the then current price for such volume determined in accordance with Schedule 5.