Cover Payment. If a Participant defaults in making a contribution or cash call required by an adopted Program and Budget, the non-defaulting Participant may, but shall not be obligated to, advance some portion or all of the amount in default on behalf of the defaulting Participant (a “Cover Payment”). Each and every Cover Payment shall constitute a demand loan bearing interest from the date of the advance at the rate provided in Section 10.3. If more than one Cover Payment is made, the Cover Payments shall be aggregated and the rights and remedies described herein pertaining to an individual Cover Payment shall apply to the aggregated Cover Payments. The failure to repay such loan upon demand shall be a default.
Cover Payment. 10.5 REMEDIES................................................. 10.6 AUDITS...................................................
Cover Payment. If a Member defaults in making a contribution or capital call required by an adopted Program and Budget, the non-defaulting Members may, but shall not be obligated to, advance to the Company some portion or the entire amount in default on behalf of the defaulting Member (a “Cover Payment”). Each and every Cover Payment by a non-defaulting Member shall constitute a demand loan from such non-defaulting Member to the defaulting Member bearing interest from the date of the advance at the rate provided in Section . If more than one Cover Payment is made, the Cover Payments shall be aggregated and the rights and remedies described herein pertaining to an individual Cover Payment shall apply to the aggregated Cover Payments. The failure to repay such loan upon demand shall be a default. The defaulting Member shall remain liable to the Company as provided in Section 13.3 for any deficiency in a capital call that is not covered by a Cover Payment.
Cover Payment. If a Member defaults in making a contribution or cash call required by (a) a Program and Budget to which the provisions of Section 6.6.1(a) apply, or (b) an adopted Program and Budget to which that Member has agreed to contribute, the non-defaulting Member may, but shall not be obligated to, advance some portion or all of the amount in default on behalf of the defaulting Member (a “Cover Payment”). Each and every Cover Payment shall constitute a demand loan bearing interest from the date of the advance at the rate provided in Section 7.3. If more than one Cover Payment is made, the Cover Payments shall be aggregated and the rights and remedies pertaining to an individual Cover Payment shall apply to the aggregated Cover Payments. The failure to repay such loan upon demand shall be a default.
Cover Payment. If a Participant defaults in making a contribution or cash call in respect of an Additional Contribution required by an adopted Program and Budget in accordance with Section 9.5, the non-defaulting Participant may, but shall not be obligated to, advance some portion or all of the amount in default on behalf of the defaulting Participant (a “Cover Payment”). Each and every Cover Payment shall constitute a demand loan bearing interest from the date of the advance at the rate provided in Section 10.3. If more than one Cover Payment is made, the Cover Payments shall be aggregated and the rights and remedies described herein pertaining to an individual Cover Payment shall apply to the aggregated Cover Payments. The failure to repay such loan upon demand shall be a default. TABLE OF CONTENTS (continued) Page
Cover Payment. If a Participant defaults in making a contribution or cash call required by an adopted Program and Budget, the non-defaulting Participants may, but shall not be obligated to, advance some portion or all of the amount in default on behalf of the defaulting Participant (a “Cover Payment”). If more than one Participant elects to fund the deficiency, the electing Participants may do so in proportion to their respective Participating Interests. Each and every Cover Payment shall constitute a demand loan bearing interest from the date of the advance at the rate provided in Section
Cover Payment. If a JV Participant defaults in making a contribution or cash call required by an adopted Program and Budget, the non-defaulting JV Participant may, but shall not be obligated to, advance some portion or all of the amount in default on behalf of the defaulting JV Participant (a “Cover Payment”). Each and every Cover Payment shall constitute a demand loan bearing interest from the date of the advance at the rate provided in Section 10.3. If more than one Cover Payment is made, the Cover Payments shall be aggregated and the rights and remedies described herein pertaining to an individual Cover Payment shall apply to the aggregated Cover Payments. The failure to repay such loan upon demand shall be a default; provided, however, if TCM has made a Cover Payment on behalf of USE, TCM may, at its option, treat the Cover Payment as a loan to USE, with interest at a rate agreed upon by the Parties, to be paid out of production from the Business.
Cover Payment. 30 10.5 Remedies . . . . . . . . . . 30 10.6 Audits . . . . . . . . . . . . 33
Cover Payment. If a Party defaults in making a cash call to be made in accordance with Section 34, the non-defaulting Party may, but will not be obligated to, advance some portion or all of the amount in default on behalf of the defaulting Party (a “Cover Payment”). Each and every Cover Payment will constitute a demand loan from the non-defaulting Party to the defaulting Party bearing interest at the CIBC Prime Rate plus 5% from the date of the advance. If more than one Cover Payment is made, the Cover Payments will be aggregated and the rights and remedies described in the Joint Venture Documents pertaining to an individual Cover Payment will apply to the aggregated Cover Payments. The failure to repay such loan upon demand will be a default under such loan.
Cover Payment. (a) If a Member defaults in making a contribution or Capital Call required by an adopted Program and Budget, the non-defaulting Member may, but shall not be obligated to, advance to the Company some portion or all of the amount in default on behalf of the defaulting Member (a “Cover Payment”). Each and every Cover Payment shall constitute a demand loan to the defaulting Member bearing interest from the date of the advance at the rate provided in Section 13.3. If more than one Cover Payment is made, the Cover Payments shall be aggregated and the rights and remedies described herein pertaining to an individual Cover Payment shall apply to the aggregated Cover Payments. The failure to repay such loan upon demand shall be a default.
(b) Upon a default in making a Capital Call, followed by a Cover Payment made by the non-defaulting Member, the non-defaulting Member shall be entitled to receive all distributions otherwise attributable to the Ownership Interest of the defaulting Member until such time as the non-defaulting Member has recovered 300% of the amount paid by the non-defaulting Member as a Cover Payment. The defaulting Member shall remain liable for any deficiency in the Capital Call that is not recovered in this manner. In order to secure the foregoing right, the defaulting Member grants to the non-defaulting Member a Lien upon its right to distributions. The non-defaulting Member may not pursue any remedy for a default without giving the defaulting Member 30 days prior written notice and opportunity to cure such default (provided, no such notice shall be required if such notice is stayed as a result of a bankruptcy by the defaulting Member).
