Common use of Form and Delivery of Security Clause in Contracts

Form and Delivery of Security. A Party shall provide Security to the other Party on or prior to the second Business Day following demand therefor in the form of Collateral, cash or a letter of credit, or in any other document or mechanism acceptable to the demanding Party. The Security provided by a Party shall be for a duration and in an amount sufficient to cover a value up to the other Party’s estimated financial exposure under this Agreement, including reasonable contingencies for the designated time period. If Security is provided in the form of a letter of credit, such letter of credit shall be issued by an Acceptable Letter of Credit Issuer and shall be in a form reasonably acceptable to the demanding Party in its sole discretion. All bank charges relating to any letter of credit and any fees, commissions, costs and expenses incurred with respect to furnishing security are for the account of the Party providing the Security. *****.

Form and Delivery of Security. A Party shall provide Security to the other Party on or prior to the second Business Day following demand therefor in the form of Collateral, cash or a letter of credit, or in any other document or mechanism acceptable to the demanding Party. The Security provided by a Party shall be for a duration and in an amount sufficient to cover a value up to the other Party’s estimated financial exposure under this Agreement, including reasonable contingencies for the designated time period, which may be calculated in accordance with Sections 12.5.2 and 12.5.3. If Security is provided in the form of a letter of credit, such letter of credit shall be issued by an Acceptable Letter of Credit Issuer and shall be in a form reasonably acceptable to the demanding Party in its sole discretion. All bank charges relating to any letter of credit and any fees, commissions, costs and expenses incurred with respect to furnishing security are for the account of the Party providing the Security. *****[REDACTED].