CST Reimbursement Sample Clauses
The CST Reimbursement clause establishes the obligation for one party to repay or cover certain costs or expenses incurred by the other party, typically related to services, materials, or third-party charges. In practice, this clause outlines the types of expenses eligible for reimbursement, the process for submitting claims, and any limitations or documentation required, such as receipts or invoices. Its core function is to ensure that parties are fairly compensated for out-of-pocket expenditures made on behalf of the other, thereby allocating financial responsibility and preventing disputes over unexpected costs.
CST Reimbursement. (a) Subject to the limitations set forth in paragraph A of Exhibit A, the MLP shall reimburse CST for all reasonable out of pocket third party fees, costs, taxes and expenses incurred by CST or the General Partner on the Partnership’s or its subsidiaries’ behalf in connection with providing the Services required to be provided by CST hereunder, including, but not limited to:
(i) legal, accounting and other fees and expenses associated with being a public company;
(ii) expenses related to the Partnership’s financings, mergers, acquisitions or dispositions of assets, and other similar transactions;
(iii) expenses related to insurance coverage for the Partnership’s assets or operations;
(iv) sales, use, excise, value added or similar taxes with respect to the services provided by CST to the Partnership;
(v) costs and expenses of Environmental Activity, including, remediation costs or expenses incurred in connection with environmental liabilities and third party claims, that are based on environmental conditions that first arise at Properties following the Effective Date; and
(vi) cost or expenses incurred in connection with the Partnership’s environmental compliance, including, but not limited to, storage tank compliance and registration, as well as compliance monitoring and oversight expenses.
(b) Reimbursement of the out of pocket third party fees, costs, taxes and expenses set forth in Section 5.2(a) shall be paid promptly by the Partnership to CST upon receipt by the General Partner of an invoice from CST setting forth amounts due under Section 5.2(a). If requested by the General Partner, CST’s invoice therefor shall provide reasonably detailed documentation supporting such costs and expenses.