Common use of Delivery Term Security Clause in Contracts

Delivery Term Security. Prior to the Initial Delivery Date, Seller shall post and maintain Performance Assurance in an amount equal to Delivery Term Security minus Seller’s Collateral Threshold, provided that, with Buyer’s consent, Seller may elect to apply the Project Development Security posted pursuant to Section Article Ten(i) toward the Performance Assurance required pursuant to this Section 10.4(b)(ii). The Delivery Term Security shall be in the amount equal to ___________________ dollars ($____________) [insert dollar amount equal to the greater of $40/kW multiplied by the Payment Quantity or 10% of the sum of the highest estimated Monthly Payments [excluding Energy Settlement]4 for any 36 consecutive month period during the Delivery Term]. If after Seller’s posting of Performance Assurance under this Section Article Ten(ii) Buyer determines that there has been a change to the Seller’s Collateral Threshold and such change results in an increase to the amount of Performance Assurance required under this Section 10.4(b)(ii), Buyer shall provide Notice to Seller of the amount of such increase and Seller shall deliver to Buyer additional Performance Assurance in that amount no later than five (5) Business Days after the date of Buyer’s Notice.

Delivery Term Security. Prior to the Initial Delivery Date, Seller shall post and maintain Performance Assurance in an amount equal to Delivery Term Security minus Seller’s Collateral Threshold, provided that, with Buyer’s consent, Seller may elect to apply the Project Development Security posted pursuant to Section Article Ten(i) toward the Performance Assurance required pursuant to this Section 10.4(b)(ii). The Delivery Term Security shall be in the amount equal to ___________________ dollars ($____________) [insert dollar amount equal to the greater of $40/kW multiplied by the Payment Quantity or 10% of the sum of the highest estimated Monthly Payments [excluding Energy Settlement]4 for any 36 consecutive month period during the Delivery Term]. If after Seller’s posting of Performance Assurance under this Section Article Ten(ii) Buyer determines that there has been a change to the Seller’s Collateral Threshold and such change results in an increase to the amount of Performance Assurance required under this Section 10.4(b)(ii), Buyer shall provide Notice to Seller of the amount of such increase and Seller shall deliver to Buyer additional Performance Assurance in that amount no later than five (5) Business Days after the date of Buyer’s Notice.

Delivery Term Security. Prior to the Initial Delivery Date, Seller shall post and maintain Performance Assurance in an amount equal to Delivery Term Security minus Seller’s Collateral Threshold, provided that, with Buyer’s consent, Seller may elect to apply the Project Development Security posted pursuant to Section Article Ten(i) toward the Performance Assurance required pursuant to this Section 10.4(b)(ii). The Delivery Term Security shall be in the amount equal to ___________________ dollars ($____________) [insert dollar amount equal to the greater of $40/kW multiplied by the Payment Quantity or 10% of the sum of the highest estimated Monthly Payments [excluding Energy Settlement]4 for any 36 consecutive month period during the Delivery Term]. If after SellerXxxxxx’s posting of Performance Assurance under this Section Article Ten(ii) Buyer determines that there has been a change to the Seller’s Collateral Threshold and such change results in an increase to the amount of Performance Assurance required under this Section 10.4(b)(ii), Buyer shall provide Notice to Seller of the amount of such increase and Seller shall deliver to Buyer additional Performance Assurance in that amount no later than five (5) Business Days after the date of Buyer’s Notice.