Fund in lieu of Title XI Reserve Fund Sample Clauses
Fund in lieu of Title XI Reserve Fund. If the Company has established a Capital Construction Fund (CCF), pur- suant to section 607 of the Act, whether interim or permanent, at any time when a deposit would otherwise be re- quired to be made into the Title XI Re- serve Fund, and the Company elects to make such deposits to the CCF, the Company must enter into an agree- ment, satisfactory to us, providing that all such deposits of assets therein will be security (CCF Security Amount) to the United States in lieu of the Title XI Reserve Fund. The deposit requirements of the Title XI Reserve Fund and Financial Agreement will be deemed satisfied by deposits of equal amounts in the CCF, and withdrawal of the CCF Security Amount will be sub- ject to our prior written consent. If, for any reason, the CCF terminates prior to the payment of the Obligations, the Secretary’s Note and all other amounts due under or secured by the Security Agreement or Mortgage, the CCF Secu- rity Amount will be deposited or rede- posited in the Title XI Reserve Fund. [65 FR 45152, July 20, 2000, as amended at 67 FR 61282, Sept. 30, 2002]
Fund in lieu of Title XI Reserve Fund. In the event any Vessel is subject to a capital construction fund established by the Partnerships, as provided in Section 607 of the Act, whether interim or permanent (herein called the "Capital Construction Fund"), at any time when deposits would otherwise be required to be made into the Title XI Reserve Fund in accordance with the terms of Section 2 hereof, and the Partnerships elect to deposit such funds into the Capital Construction Fund, then the Partnerships shall enter into an agreement satisfactory in form and substance to the Secretary to the effect that (a) the Capital Construction Fund and all assets so deposited therein shall be and constitute security to the United States in lieu of the Title XI Reserve Fund as described in Section 2 hereof, and the deposit requirements of Section 2 of this Financial Agreement shall be deemed satisfied by deposits of equal amounts in the Capital Construction Fund and (b) the Partnerships and the Secretary may execute such further agreements or documents and take such other actions as may be deemed necessary by the Secretary to perfect the pledge of the security of the Capital Construction Fund.
Fund in lieu of Title XI Reserve Fund. In the event the Vessel is subject to a capital construction fund established by the Company, as provided in Section 607 of the Act, whether interim or permanent (herein called the "Capital Construction Fund"), at any time when deposits would otherwise be required to be made into the Title XI Reserve Fund, and the Company elects to deposit such funds into the Capital Construction Fund, then the Company shall enter into an agreement satisfactory in form and substance to the Secretary to the effect that (a) the Capital Construction Fund and all assets so deposited therein shall be and constitute security to the United States in lieu of the Title XI Reserve Fund and the deposit requirements of Section of this Financial Agreement shall be deemed satisfied by deposits of equal amounts in the Capital Construction Fund and (b) the Company and the Secretary may execute such further agreements or documents and take such other actions as may be deemed necessary by the Secretary to perfect the pledge of the security of the Capital Construction Fund.