Common use of Cost Recovery Fee Clause in Contracts

Cost Recovery Fee. You understand and agree that in order for XOOM to offer and fulfill its fixed rate obligation to you, it has to purchase electric power in advance of usage in amounts needed to cover the full term of this Agreement. If you cancel this Agreement early, you will be responsible for paying a cost recovery fee (“Cost Recovery Fee”) which will be the greater of $500, or the amount of electricity you failed to consume during the remainder of your Term, calculated on the basis of your previous consumption, multiplied by the excess, if any, between your Fixed Price and the price XOOM can sell such electricity for at the time of termination. The Cost Recovery Fee is intended not as a penalty, but simply to offset the cost of selling the unused portion of your electricity to others and estimated lost revenue that XOOM may incur from such a sale, including losses and reasonable costs incurred by XOOM for the balance of the Term as a result of maintaining,terminating, obtaining or re-establishing any hedge or related physical or financial positions applicable to this Agreement. .

Cost Recovery Fee. You understand and agree that in order for XOOM to offer and fulfill its fixed rate obligation to you, it has to purchase electric power in advance of usage in amounts needed to cover the full term of this Agreement. If you cancel this Agreement early, you will be responsible for paying a cost recovery fee (“Cost Recovery Fee”) which will be the greater of $500250, or the amount of electricity you failed to consume during the remainder of your Term, calculated on the basis of your previous consumption, multiplied by the excess, if any, between your Fixed Price and the price XOOM can sell such electricity for at the time of termination. The Cost Recovery Fee is intended not as a penalty, but simply to offset the cost of selling the unused portion of your electricity to others and estimated lost revenue that XOOM may incur from such a sale, including losses and reasonable costs incurred by XOOM for the balance of the Term as a result of maintaining,terminating, obtaining or re-establishing any hedge or related physical or financial positions applicable to this Agreement. .

Cost Recovery Fee. You understand and agree that in order for XOOM to offer and fulfill its fixed rate obligation to you, it has to purchase electric power in advance of usage in amounts needed to cover the full term of this Agreement. If you cancel this Agreement early, you will be responsible for paying a cost recovery fee (“Cost Recovery Fee”) which will be the greater of $500750, or the amount of electricity you failed to consume during the remainder of your Term, calculated on the basis of your previous consumption, multiplied by the excess, if any, between your Fixed Price and the price XOOM can sell such electricity for at the time of termination. The Cost Recovery Fee is intended not as a penalty, but simply to offset the cost of selling the unused portion of your electricity to others and estimated lost revenue that XOOM may incur from such a sale, including losses and reasonable costs incurred by XOOM for the balance of the Term as a result of maintaining,terminating, obtaining or re-establishing any hedge or related physical or financial positions applicable to this Agreement. .