Common use of Compulsory Prepayment in case of Total Loss or sale of the Vessel Clause in Contracts

Compulsory Prepayment in case of Total Loss or sale of the Vessel. (a) On the Vessel becoming a Total Loss or suffering damage or being involved in an incident which in the reasonable opinion of the Bank may result in the Vessel being subsequently determined to be a Total Loss on or after the Drawdown Date, the obligation of the Bank to advance the Commitment or any part thereof shall immediately cease and the Commitment shall be reduced to zero. The Borrower shall prepay the Loan without penalty, premium or prepayment fee, the latest on the date one hundred and eighty (180) days after that on which the incident which may result in the Vessel being subsequently determined to be a Total Loss occurred or, if earlier, on the date upon which the insurance proceeds in respect of such Total Loss are or Requisition Compensation is received by the Borrower (or the Bank pursuant to the Security Documents), together with accrued interest on the Loan to the date of prepayment and all other sums payable by the Borrower to the Bank pursuant to this Agreement and/or the Security Documents, including, without limitation, any amounts payable under Clause 10. For the purpose of this Agreement a Total Loss shall be deemed to have occurred: (i) in the case of an actual total loss of a Vessel, at the actual date and time such Vessel was lost but in the event of the date of the loss being unknown then the actual total loss shall be deemed to have occurred on the date on which the Vessel was last reported; (ii) in the case of a constructive total loss of the Vessel, at the date and time notice of abandonment of the Vessel is given to the insurers of the Vessel for the time being (provided a claim for such Total Loss is admitted by such insurers) or, if such insurers do not admit such a claim, or, in the event that such notice of abandonment is not given by the Borrower to the insurers of the Vessel, at the date and time on which occurred the incident which may result, in the reasonable opinion of the Bank, in the Vessel being subsequently determined to be a Total Loss; (iii) in the case of a compromised or arranged total loss shall be deemed to have occurred on the date on which occurred the incident which may result, in the reasonable opinion of the Bank, in the Vessel being subsequently determined to be a Total Loss; (iv) in the case of Compulsory Acquisition, on the date upon which the relevant requisition of title or other compulsory acquisition occurs; and (v) in the case of hijacking, theft, condemnation, capture, seizure, arrest, detention or confiscation of the Vessel (other than where the same amounts to Compulsory Acquisition of the Vessel) by any Government Entity, or by persons purporting to act on behalf of any Government Entity, which deprives the Borrower of the use of the Vessel for more than thirty days, upon the expiry of the period of thirty days after the date upon which the relevant hijacking, theft, condemnation, capture, seizure, arrest, detention or confiscation occurred. (b) Immediately upon the sale of the Vessel to a third party on terms of a sale at arms length terms with the prior written consent of the Bank the Borrower shall prepay to the Bank the Loan without penalty, premium or prepayment fee, together with accrued interest on the Loan to the date of prepayment and all other sums payable by the Borrower to the Bank pursuant to this Agreement and/or the Security Documents, including, without limitation, any amounts payable under Clause 10.

Compulsory Prepayment in case of Total Loss or sale of the Vessel. (a) On the Vessel becoming a Total Loss or suffering damage or being involved in an incident which in the reasonable opinion of the Bank may result in the Vessel being subsequently determined to be a Total Loss on or after Loss: (i) prior to the Drawdown Dateadvancing of the Commitment, the obligation of the Bank to advance the Commitment or any part thereof shall immediately cease and the Commitment shall be reduced to zero. The ; or (ii) in case the Commitment has been already advanced, the Borrower shall prepay the Loan without penalty, premium or prepayment fee, Outstanding Indebtedness the latest on the date falling one hundred and eighty fifty (180150) days after that on which the incident which in the reasonable opinion of the Bank may result in the Vessel being subsequently determined to be a Total Loss occurred or, if earlier, on the date upon which the insurance proceeds in respect of such Total Loss are or Requisition Compensation is received by the Borrower (or the Bank pursuant to the Security Documents), together with accrued interest on the Loan to the date of prepayment and all other sums payable by the Borrower to the Bank pursuant to this Agreement and/or the Security Documents, including, without limitation, any amounts payable under Clause 10. For the purpose of this Agreement a Total Loss Agreement: (i) an actual total loss of the Vessel shall be deemed to have occurred: (i) in the case of an actual total loss of a Vessel, occurred at the actual date and time such the Vessel was lost but in the event of the date of the loss being unknown then the actual total loss shall be deemed to have occurred on the date on which the Vessel was last reported; (ii) in the case of a constructive total loss of the Vessel, shall be deemed to have occurred at the date and time notice of abandonment of the Vessel is given to the insurers of the Vessel for the time being (provided a claim for such Total Loss total loss is admitted by such insurers) or, if such insurers do not admit such a claim, or, in the event that such notice of abandonment is not given by the Borrower to the insurers of the Vessel, at the date and time on at which occurred the incident which may result, in the reasonable opinion a total loss is subsequently adjudged by a competent court of the Bank, in the Vessel being subsequently determined law to be a Total Losshave occurred; (iii) in the case of a compromised or arranged total loss shall be deemed to have occurred on the date on which occurred a binding agreement as to such compromised or arranged total loss has been entered into by the incident which may result, in the reasonable opinion insurers of the Bank, in the Vessel being subsequently determined to be a Total LossVessel; (iv) in requisition for title or other compulsory acquisition of the case of Compulsory Acquisition, Vessel shall be deemed to have occurred on the date upon which the relevant requisition of for title or other compulsory acquisition occurs; and (v) in the case of hijacking, theft, condemnation, capture, seizure, detention, arrest, detention or confiscation of the Vessel (other than where the same amounts to Compulsory Acquisition of the Vessel) by any Government Entity, government or by persons any person acting or purporting to act on behalf of any Government Entitygovernment, which deprives the Borrower of the use of the Vessel for more than thirty days, (30) days shall be deemed to occur upon the expiry of the period of thirty (30) days after the date upon which the relevant hijacking, theft, condemnation, capture, seizure, arrestdetention, detention arrest or confiscation occurred. (b) Immediately upon the In case of sale or other disposal of the Vessel to a third party on terms Vessel, immediately upon completion of a such sale at arms length terms with the prior written consent of the Bank or other disposal, the Borrower shall prepay to the Bank the Loan without penalty, premium or prepayment fee, together with accrued interest on the Loan to the date of prepayment and all other sums payable by the Borrower to the Bank pursuant to this Agreement and/or the Security Documents, including, without limitation, any amounts payable under Clause 10Loan.

Compulsory Prepayment in case of Total Loss or sale of the Vessel. (a) On the Vessel becoming a Total Loss or suffering damage or being involved in an incident which in the reasonable opinion of the Bank may result in the Vessel being subsequently determined to be a Total Loss on or after Loss: (iii) prior to the Drawdown Dateadvancing of the Commitment, the obligation of the Bank to advance the Commitment or any part thereof shall immediately cease and the Commitment shall be reduced to zero. The ; or (ii) in case the Commitment has been already advanced, the Borrower shall prepay the Loan without penalty, premium or prepayment fee, Outstanding Indebtedness the latest on the date falling one hundred and eighty (180) days after that on which the incident which in the reasonable opinion of the Bank may result in the Vessel being subsequently determined to be a Total Loss occurred or, if earlier, on the date upon which the insurance proceeds in respect of such Total Loss are or Requisition Compensation is received by the Borrower (or the Bank pursuant to the Security Documents), together with accrued interest on the Loan to the date of prepayment and all other sums payable by the Borrower to the Bank pursuant to this Agreement and/or the Security Documents, including, without limitation, any amounts payable under Clause 10. For the purpose of this Agreement a Total Loss Agreement: (i) an actual total loss of the Vessel shall be deemed to have occurred: (i) in the case of an actual total loss of a Vessel, occurred at the actual date and time such the Vessel was lost but in the event of the date of the loss being unknown then the actual total loss shall be deemed to have occurred on the date on which the Vessel was last reported; (ii) in the case of a constructive total loss of the Vessel, shall be deemed to have occurred at the date and time notice of abandonment of the Vessel is given to the insurers of the Vessel for the time being (provided a claim for such Total Loss total loss is admitted by such insurers) or, if such insurers do not admit such a claim, or, in the event that such notice of abandonment is not given by the Borrower to the insurers of the Vessel, at the date and time on at which occurred the incident which may result, in the reasonable opinion a total loss is subsequently adjudged by a competent court of the Bank, in the Vessel being subsequently determined law to be a Total Losshave occurred; (iii) in the case of a compromised or arranged total loss shall be deemed to have occurred on the date on which occurred a binding agreement as to such compromised or arranged total loss has been entered into by the incident which may result, in the reasonable opinion insurers of the Bank, in the Vessel being subsequently determined to be a Total LossVessel; (iv) in requisition for title or other compulsory acquisition of the case of Compulsory Acquisition, Vessel shall be deemed to have occurred on the date upon which the relevant requisition of for title or other compulsory acquisition occurs; and (v) in the case of hijacking, theft, condemnation, capture, seizure, detention, arrest, detention or confiscation of the Vessel (other than where the same amounts to Compulsory Acquisition of the Vessel) by any Government Entity, government or by persons any person acting or purporting to act on behalf of any Government Entitygovernment, which deprives the Borrower of the use of the Vessel for more than thirty days, (30) days shall be deemed to occur upon the expiry of the period of thirty (30) days after the date upon which the relevant hijacking, theft, condemnation, capture, seizure, arrestdetention, detention arrest or confiscation occurred. (b) Immediately upon the sale of the Vessel to a third party on terms of a sale at arms length terms with the prior written consent of the Bank the Borrower shall prepay to the Bank the Loan without penalty, premium or prepayment fee, together with accrued interest on the Loan to the date of prepayment and all other sums payable by the Borrower to the Bank pursuant to this Agreement and/or the Security Documents, including, without limitation, any amounts payable under Clause 10.

Compulsory Prepayment in case of Total Loss or sale of the Vessel. (a) On the Vessel becoming a Total Loss or suffering damage or being involved in an incident which may, in the reasonable opinion of the Bank may Bank, result in the Vessel being subsequently determined to be a Total Loss on or after (i) prior to the Drawdown Dateadvance of the first Advance, the obligation of the Bank to advance the Commitment any Advance (or any part thereof thereof) shall immediately cease and the Commitment Facility shall be reduced to zero. The , or (ii) in the event that an Advance has already been advanced, the Borrower shall prepay the Loan Outstanding Indebtedness, without penalty, premium or prepayment fee, including, without limitation, any amounts payable under clause 10, the latest on the date falling one hundred and eighty twenty (180120) days after that the date of the Total Loss or on which the incident or damage which may result in the Vessel being subsequently determined to be a Total Loss occurred or, if earlier, on the date upon which the insurance proceeds in respect of such Total Loss are or Requisition Compensation (as defined in the Mortgage is received by the Borrower Owner (or the Bank pursuant to the Security Documents). (b) Immediately upon the sale or other disposal of the Vessel to a third party on terms of a sale or other disposal at arms length terms, together with accrued interest on the Loan to the date of prepayment and all other sums payable by the Borrower shall pay to the Bank pursuant to this Agreement and/or the Security Documents, includingOutstanding Indebtedness, without limitationpenalty, any amounts payable under Clause 10. For premium or prepayment fee; and for the purpose of this Agreement Agreement, a Total Loss shall be deemed to have occurred: (i) in the case of an actual total loss of a the Vessel, at on the actual date and at the time such the Vessel was lost but in the event of the or, if such date of the loss being unknown then the actual total loss shall be deemed to have occurred is not known, on the date on which the Vessel was last reported; (ii) in the case of a constructive total loss of the Vessel, shall be deemed to have occurred at the date and time notice of abandonment of the Vessel is given to the insurers of the Vessel for the time being (provided a claim for such Total Loss total loss is admitted by such insurers) or, if such insurers do not admit such a claim, or, in the event that such notice of abandonment is not given by the Borrower to the insurers of the Vessel, at the date and time on at which occurred the incident which may result, in the reasonable opinion a total loss is subsequently adjudged by a competent court of the Bank, in the Vessel being subsequently determined law to be a Total Losshave occurred; (iii) in the case of a compromised or arranged total loss shall be deemed to have occurred on the date on which occurred a binding agreement as to such compromised or arranged total loss has been entered into by the incident which may result, in the reasonable opinion insurers of the Bank, in the Vessel being subsequently determined to be a Total LossVessel; (iv) in requisition for title or other compulsory acquisition of the case of Compulsory Acquisition, Vessel shall be deemed to have occurred on the date upon which the relevant requisition of for title or other compulsory acquisition occurs; and (v) in the case of hijacking, theft, condemnation, capture, seizure, detention, arrest, detention or confiscation of the Vessel (other than where the same amounts to Compulsory Acquisition of the Vessel) by any Government Entity, government or by persons any person acting or purporting to act on behalf of any Government Entitygovernment, which deprives the Borrower Owner of the use of the Vessel for more than thirty days, (30) days shall be deemed to occur upon the expiry of the period of thirty (30) days after the date upon which the relevant hijacking, theft, condemnation, capture, seizure, arrestdetention, detention arrest or confiscation occurred. (b) Immediately upon the sale of the Vessel to a third party on terms of a sale at arms length terms with the prior written consent of the Bank the Borrower shall prepay to the Bank the Loan without penalty, premium or prepayment fee, together with accrued interest on the Loan to the date of prepayment and all other sums payable by the Borrower to the Bank pursuant to this Agreement and/or the Security Documents, including, without limitation, any amounts payable under Clause 10.