Common use of Compensation for reinstatement Clause in Contracts

Compensation for reinstatement. The Lessor shall be entitled to all compensation payable in respect of any change in the structure, state or condition of the Ship arising during the period of requisition for hire. The Lessor shall apply such compensation in reimbursing the Lessee for its cost of complying with its obligations under clause 24.4, provided always that if a Relevant Event has occurred and is continuing, the Lessor shall be entitled to apply such compensation in or towards settlement of any amounts owing by the Lessee under this Lease or any of the other Lease Documents and the balance, if any, shall be paid to the Lessee.