Common use of Efforts to Operate within Annual Budget Clause in Contracts

Efforts to Operate within Annual Budget. Manager agrees to use its reasonable best efforts to operate the Facility in accordance with the Annual Budgets. Subject to the foregoing limitation, Owner shall be responsible on a periodic basis, as and when needed, for all expenses and capital expenditures incurred in connection with the operation and maintenance of the Facility, including, without limitation, Fees and cost overruns which exceed the projections in the then current Annual Budget; provided, however, that (except as provided in the next sentence) Owner shall not be responsible for cost overruns which exceed the relevant amount provided for in such Annual Budget by more than 10%, if the incurrence of such overruns was subject to or within the reasonable control of Manager. Notwithstanding anything in this Agreement, if Manager determines in good faith that the incurrence of any expenditure is required in order to comply with applicable law or regulations, then, with Owner's prior approval, which shall not be unreasonably withheld, Manager shall be entitled to make such expenditures, and all such expenditures shall be deemed, for all purposes of this Agreement, to be in accordance with the then current Annual Budget.

Efforts to Operate within Annual Budget. Manager agrees to use its reasonable best efforts to operate the Facility in accordance with the Annual Budgets. Subject to the foregoing limitation, Owner shall be responsible on a periodic basis, as and when needed, for all expenses and capital expenditures incurred in connection with the operation and maintenance of the Facility, including, without limitation, Fees and cost overruns which exceed the projections in the then current Annual Budget; provided, however, that (except as provided in the next sentence) Owner shall not be responsible for cost overruns which exceed the relevant amount provided for in such Annual Budget by more than 10%, if the incurrence of such overruns was subject to or within the reasonable control of Manager. Notwithstanding anything in this Agreement, if Manager determines in good faith that the incurrence of any expenditure is required in order to comply with applicable law or regulations, then, with Owner's prior approval, which shall not be unreasonably withheld, Manager shall be entitled to make such expenditures, and all such expenditures shall be deemed, for all purposes of this Agreement, to be in accordance with the then current Annual Budget.

Efforts to Operate within Annual Budget. Manager agrees to use its reasonable best efforts to operate the Facility in accordance with the Annual Budgets. Subject to the foregoing limitation, Owner shall be responsible on a periodic basis, as and when needed, for all expenses and capital expenditures incurred in connection with the operation and maintenance of the Facility, including, without limitation, Fees and cost overruns which exceed the projections in the then current Annual Budget; provided, however, that (except as provided in the next sentence) Owner shall not be responsible for cost overruns which exceed the relevant amount provided for in such Annual Budget by more than 10%, if the incurrence of such overruns was subject to or within the reasonable control of Manager. Notwithstanding anything in this Agreement, if Manager determines in good faith that the incurrence of any expenditure is required in order to comply with applicable law or regulationsregulations or to provide services in accordance with the senior and assisted living industry's then prevailing standards in the area in which the Facility is located, then, with Owner's prior approval, which shall not be unreasonably withheld, then Manager shall be entitled to make such expenditures, and all such expenditures shall be deemed, for all purposes of this Agreement, to be in accordance with the then current Annual Budget.