Distribution Deficiency Clause Samples
A Distribution Deficiency clause defines the process for addressing situations where a party receives less than its entitled share of distributions, such as profits or assets, under an agreement. Typically, this clause outlines how any shortfall will be calculated and the method by which the deficiency will be remedied, for example, through future payments or adjustments in subsequent distributions. Its core function is to ensure fairness and accuracy in the allocation of distributions, preventing disputes and correcting errors if a party is underpaid.
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Distribution Deficiency. Any funds deposited into the Policy Payments Account in respect of the Class A-3 Certificates that are remaining therein on the first Business Day following a Distribution Date after the Class A-3 Distribution Deficiency has been made to the Certificateholders of such Class shall be remitted in immediately available funds to Ambac, pursuant to the instructions of Ambac, by the end of such Business Day.
Distribution Deficiency. Any funds deposited into the Policy Payments Account in respect of the Class A-12 Certificates that are remaining therein on the first Business Day following a Distribution Date after the Class A-12 Distribution Deficiency has been made to the Certificateholders of such Class shall be remitted in immediately available funds to Financial Security, pursuant to the instructions of Financial Security, by the end of such Business Day.
Distribution Deficiency. Any funds deposited into the Policy Payments Account in respect of the Class A-6 Certificates that are remaining therein on the first Business Day following a Distribution Date after the Class A-6 Distribution Deficiency has been made to the Certificateholders of such Class shall be remitted in immediately available funds to FSA, pursuant to the instructions of FSA, by the end of such Business Day.