Financial Support Fee Clause Samples
The Financial Support Fee clause establishes the obligation for one party to pay a specified fee to another party as a form of financial assistance or support. Typically, this fee is calculated based on agreed terms, such as a fixed amount or a percentage of certain costs, and is paid at regular intervals or upon the occurrence of specific events. The core function of this clause is to ensure that the recipient receives necessary financial backing, thereby supporting the ongoing viability of a project or relationship and clarifying the financial responsibilities between the parties.
Financial Support Fee. (a) If the Project Lenders require Financial Support, the parties agree that the Shareholder providing, procuring or arranging the Financial Support may charge the Company a fee (Financial Support Fee), to be determined under clause 20.3(b).
(b) The parties agree that the Financial Support Fee charged by each Shareholder will be equal to two percent per annum of the aggregate amount of the non-recourse debt supported by that Shareholder.
(c) The Financial Support Fee (or portion of that amount) will be charged to the Company each Quarter of each year in which the Financial Support is provided.
(d) In addition to the Financial Support Fee, each Shareholder may charge to the Company all reasonable costs incurred by the Shareholder in providing the Financial Support (including all establishment and administration fees and reasonable legal fees and expenses and, in the case of a letter of credit, all interest, fees and charges) from time to time.
(e) If two or more persons provide support in respect of the same facility, the fees in respect of that facility and the payment of those fees will be proportionate to the amount of support provided by each such person but in no event will the fee exceed two percent of the amount supported in aggregate.
(f) The Financial Support Fee must be paid prior to any dividends or other distributions in respect of Securities.
Financial Support Fee. As consideration for the financial support provided by EEP under this Agreement, during the Term (as defined below), Midcoast shall pay a Financial Support Fee (as defined below) to EEP on or before the thirtieth (30th) day following each Month-End. The “
Financial Support Fee. Distributor will pay a financial support fee to Financial Intermediary in the amount described in Schedule A hereto (the “Fee”). The Fee will be paid from Distributor’s or its affiliate’s revenues, profits or retained earnings and will be payable via the Automatic Clearing House (ACH) system to Financial Intermediary within 60 days following calendar quarter end or as otherwise provided in Schedule A. Payment amounts less than $500.00 are considered nominal, and Distributor is not obligated to make an individual payment for any amount thereunder.
Financial Support Fee. In consideration of MII's agreement to make Advances under the terms and conditions of this Agreement, MI will pay MII a fee in the amount of $5,000 per month, payable on the first day of each month during the term of this Agreement, except that the first monthly fee will be $2,500 and will be payable on the date hereof.