Common use of Consequences of a Compensation Event Clause in Contracts

Consequences of a Compensation Event. (a) If a Compensation Event occurs, Project Co’s sole right to compensation shall be as set out in this Article 23. For greater certainty, except as aforesaid, no other Delay Event shall entitle Project Co to receive any compensation, except as otherwise provided in: (i) Schedule 11 – Change Procedure; (ii) Article 24, in the case of a Delay Event referred to in Section 22.1(a)(viii); and (iii) Article 21, in the case of a Delay Event referred to in Section 22.1(a)(ix). (b) Subject to Sections 23.3 and 23.4, if it is agreed or determined in accordance with Schedule 14 – Dispute Resolution Procedure, that there has been a Compensation Event, Project Co shall be entitled to all Direct Losses incurred or suffered by it as a result of the Compensation Event, as approved by Owner and the Consultant and processed as a Change Order, including the Overhead and Project Fee as determined in accordance with Schedule 11 – Change Procedure, and any increase to the Cost of the Financing, as determined in accordance with Section 2.10 of Schedule 11 – Change Procedure.