Common use of Distribution at Year End Clause in Contracts

Distribution at Year End. At the end of the last day in a taxation year (or, where the taxation year of a Fund ends on December 15, at the end of the last day in the calendar year that includes the end of the taxation year; or, where the taxation year of a Fund is deemed under the Tax Act to end on a day other than December 15 or December 31, at the end of the last day in that taxation year), an amount not less than the amount necessary to ensure that the Fund will not be liable for the tax under Part I of the Tax Act for the taxation year (other than alternative minimum tax), after taking into account any entitlement to a capital gains refund shall, without any further action, become automatically due and payable to Unitholders of Record on that day in respect of their Units of a particular series of the Fund. An amount that becomes payable to Unitholders of a particular series of Units of a Fund pursuant to this Section shall be allocated among the Unitholders pro rata based on the number of Units of that series held by each Unitholder. All amounts payable pursuant to this Section 16.9 in respect of a Deemed Taxation Year End will be automatically reinvested in additional Units of the same series of the Fund on which the amount was considered payable and immediately following this reinvestment the number of Units of the relevant series outstanding shall, notwithstanding Section 3.3, be automatically consolidated so that the net asset value of each unit of such series after the reinvestment is the same as it was immediately before the amount was considered to have been declared due and payable by the Fund.