Common use of Interest and Investment Clause in Contracts

Interest and Investment. This Section does not apply if the Applicant is a Post-secondary Institution, a Regional Innovation Network, a municipality, or part of the Government of Canada or the Government of Alberta Including any ministry, department, agency, or Crown corporation. For all other Applicants, if any portion of the Investment is paid to the Applicant before it is to be spent on Eligible Expenses, the Applicant shall hold or invest such funds in accordance with the Trustee Act (Alberta) requirements for Trustee investments, notwithstanding that the Applicant would not be a trustee. That is, the Applicant shall avoid undue risk, having regard to the Parties’ intention that the Investment be used to fund the Project. For clarity, there is no obligation for the Applicant to hold the funds in trust or in a separate bank account, or for it to account to Alberta Innovates for any interest or returns. The Applicant shall make reasonable efforts to apply any interest and other returns earned on such funds towards Project Costs.