Common use of Liens and Mortgages Clause in Contracts

Liens and Mortgages. (a) Charterer covenants that it will, at all times, at its own cost and expense, warrant and defend Shipowner’s title to the Vessels and all components thereof during the Charter Period, and all right, title and interest of Shipowner in, to and under any charter assignment, insurances assignment or other assignment given by Charterer to Shipowner in connection with this Demise Charter or the Vessels, and in any way relating to any thereof, against the claims, liens and demands of all Persons, which obligation shall survive Redelivery and termination of this Demise Charter; provided, however, that Charterer shall not have any responsibility in respect of Shipowner’s Liens. (b) Without prejudice to the rights of Shipowner under Article 14, neither Charterer, the master of any Vessel, nor any other Person has or shall have any right, power or authority, without the prior written consent of Shipowner, to create, incur or permit to be placed or imposed upon any Vessel any mortgage, lien, charge or other encumbrance whatsoever other than Permitted Liens, nor shall Shipowner have any right, power or authority so to do. During the Charter Period, Charterer agrees to carry a true copy of this Demise Charter with the ship’s papers on board each of the Vessels and to exhibit the same on demand to any Person having business with the Vessels which may give rise to a maritime lien upon the Vessels, and on demand to any representative of Shipowner. Charterer shall also place and keep prominently exhibited in the master’s cabin and the chart room of each of the Vessels, or at another appropriate place or places on board the Vessels, a printed notice which will be substantially in the following form: This Vessel is owned by TTC Trust, Ltd., a Connecticut statutory trust, acting by and through State Street Bank and Trust Company of Connecticut, National Association, as trustee (“Shipowner”), and is under demise charter to TECO Ocean Shipping, Inc., a Florida corporation (“Charterer”). Under the terms of said demise charter, neither Charterer, any other charterer, the master or agent of this Vessel nor any other person (other than Shipowner) has any right, power or authority to create, incur or permit to be placed or imposed upon this Vessel any lien whatsoever other than Permitted Liens as defined in said demise charter, including liens for wages of a stevedore when employed directly by Charterer or the operator, master or agent of this Vessel, for wages of the crew in respect of this Vessel, or for general average, or for salvage (including contract salvage).” (c) If a libel shall be filed against any Vessel, or if any Vessel shall be otherwise levied upon or taken into custody by virtue of proceedings in any court or tribunal in any country or nation of the world or by any governmental or other authority because of any liens or claims (other than Shipowner’s Liens), Charterer shall, without expense to Shipowner, cause such Vessel to be released within twenty (20) Business Days and any such claims or liens to be discharged when such claims or the obligations or charges secured by such liens are due and payable and are not being contested in good faith by appropriate proceedings. In the event any Vessel is levied upon or taken into custody or detained by any authority whatsoever, Charterer agrees forthwith to notify Shipowner thereof by telefax, telegram or telex, confirmed by letter. (d) Notwithstanding the provisions of this Article 7, in the event any Vessel shall be arrested or detained by a marshal or other officer of any court of law, equity or admiralty jurisdiction in any country or nation of the world or by any government or other authority and shall not be released from arrest or detention within twenty (20) Business Days from the date of arrest or detention, Shipowner shall be at liberty to apply for and receive possession of and to take possession in such proceeding of such Vessel (subject however to this Demise Charter) and to protect its right, title and interest as owner in such Vessel with all the rights and powers that Shipowner might have, possess and exercise in any such event. If such arrest or detention is such that under this Article 7 Charterer is required to defend any Vessel against such arrest or detention, then all expenses incurred by Shipowner pursuant to the foregoing sentence shall constitute a debt due from Charterer to Shipowner, but Shipowner shall not be obligated to take the action authorized by the foregoing sentence.

Liens and Mortgages. (a) Charterer covenants that it will, at all times, at its own cost and expense, warrant and defend Shipowner’s title to the Vessels and all components thereof during the Charter Period, and all right, title and interest of Shipowner in, to and under any charter assignment, insurances assignment or other assignment given by Charterer to Shipowner in connection with this Demise Charter or the Vessels, and in any way relating to any thereof, against the claims, liens and demands of all Persons, which obligation shall survive Redelivery and termination of this Demise Charter; provided, however, that Charterer shall not have any responsibility in respect of Shipowner’s Liens. (b) Without prejudice to the rights of Shipowner under Article 14, neither Charterer, the master of any Vessel, nor any other Person has or shall have any right, power or authority, without the prior written consent of Shipowner, to create, incur or permit to be placed or imposed upon any Vessel any mortgage, lien, charge or other encumbrance whatsoever other than Permitted Liens, nor shall Shipowner have any right, power or authority so to do. During the Charter PeriodTerm, Charterer agrees to carry a true copy of this Demise Charter with the ship’s papers on board each of the Vessels and to exhibit the same on demand to any Person having business with the Vessels which may give rise to a maritime lien upon the Vessels, and on demand to any representative of Shipowner. Charterer shall also place and keep prominently exhibited in the master’s cabin and the chart room of each of the Vessels, or at another appropriate place or places on board the Vessels, a printed notice which will be substantially in the following form: This Vessel is owned by TTC GTC Connecticut Statutory Trust, Ltd., a Connecticut statutory trust, acting by and through State Street Bank and Trust Company of Connecticut, National Association, as trustee (“Shipowner”), and is under demise charter to TECO Ocean Shipping, Inc.Gulfcoast Transit Company, a Florida corporation (“Charterer”). Under the terms of said demise charter, neither Charterer, any other charterer, the master or agent of this Vessel nor any other person (other than Shipowner) has any right, power or authority to create, incur or permit to be placed or imposed upon this Vessel any lien whatsoever other than Permitted Liens as defined in said demise charter, including liens for wages of a stevedore when employed directly by Charterer or the operator, master or agent of this Vessel, for wages of the crew in respect of this Vessel, or for general average, or for salvage (including contract salvage).” (c) If a libel shall be filed against any Vessel, or if any Vessel shall be otherwise levied upon or taken into custody by virtue of proceedings in any court or tribunal in any country or nation of the world or by any governmental or other authority because of any liens or claims (other than Shipowner’s Liens), Charterer shall, without expense to Shipowner, cause such Vessel to be released within twenty (20) Business Days and any such claims or liens to be discharged when such claims or the obligations or charges secured by such liens are due and payable and are not being contested in good faith by appropriate proceedings. In the event any Vessel is levied upon or taken into custody or detained by any authority whatsoever, Charterer agrees forthwith to notify Shipowner thereof by telefax, telegram or telex, confirmed by letter. (d) Notwithstanding the provisions of this Article 7, in the event any Vessel shall be arrested or detained by a marshal or other officer of any court of law, equity or admiralty jurisdiction in any country or nation of the world or by any government or other authority and shall not be released from arrest or detention within twenty (20) Business Days from the date of arrest or detention, Shipowner shall be at liberty to apply for and receive possession of and to take possession in such proceeding of such Vessel (subject however to this Demise Charter) and to protect its right, title and interest as owner in such Vessel with all the rights and powers that Shipowner might have, possess and exercise in any such event. If such arrest or detention is such that under this Article 7 Charterer is required to defend any Vessel against such arrest or detentionthere against, then all expenses incurred by Shipowner pursuant to the foregoing sentence shall constitute a debt due from Charterer to Shipowner, but Shipowner shall not be obligated to take the action authorized by the foregoing sentence.

Liens and Mortgages. (a) Charterer covenants that it will, at all times, at its own cost and expense, warrant and defend Shipowner’s title to the Vessels and all components thereof during the Charter Period, and all right, title and interest of Shipowner in, to and under any charter assignment, insurances assignment or other assignment given by Charterer to Shipowner in connection with this Demise Charter or the Vessels, and in any way relating to any thereof, against the claims, liens and demands of all Persons, which obligation shall survive Redelivery and termination of this Demise Charter; provided, however, that Charterer shall not have any responsibility in respect of Shipowner’s Liens. (b) Without prejudice to the rights of Shipowner under Article 14, neither Charterer, the master of any Vessel, nor any other Person has or shall have any right, power or authority, without the prior written consent of Shipowner, to create, incur or permit to be placed or imposed upon any Vessel any mortgage, lien, charge or other encumbrance whatsoever other than Permitted Liens, nor shall Shipowner have any right, power or authority so to do. During the Charter Period, Charterer agrees to carry a true copy of this Demise Charter with the ship’s papers on board each of the Vessels (but in the case of the Vessels that are river barges only if and to the extent possible) and to exhibit the same on demand to any Person having business with the Vessels which may give rise to a maritime lien upon the Vessels, and on demand to any representative of Shipowner. Charterer shall also place and keep prominently exhibited in the master’s cabin and the chart room of each of the Vessels, or at another appropriate place or places on board the VesselsVessels (but in the case of the Vessels that are river barges only if and to the extent possible), a printed notice which will be substantially in the following form: This Vessel is owned by TTC Trust, Ltd., a Connecticut statutory trust, acting by and through State Street Bank and Trust Company of Connecticut, National Association, as trustee (“Shipowner”), and is under demise charter to TECO Ocean ShippingBarge Line, Inc., a Florida corporation (“Charterer”). Under the terms of said demise charter, neither Charterer, any other charterer, the master or agent of this Vessel nor any other person (other than Shipowner) has any right, power or authority to create, incur or permit to be placed or imposed upon this Vessel any lien whatsoever other than Permitted Liens as defined in said demise charter, including liens for wages of a stevedore when employed directly by Charterer or the operator, master or agent of this Vessel, for wages of the crew in respect of this Vessel, or for general average, or for salvage (including contract salvage).” (c) If a libel shall be filed against any Vessel, or if any Vessel shall be otherwise levied upon or taken into custody by virtue of proceedings in any court or tribunal in any country or nation of the world or by any governmental or other authority because of any liens or claims (other than Shipowner’s Liens), Charterer shall, without expense to Shipowner, cause such Vessel to be released within twenty (20) Business Days and any such claims or liens to be discharged when such claims or the obligations or charges secured by such liens are due and payable and are not being contested in good faith by appropriate proceedings. In the event any Vessel is levied upon or taken into custody or detained by any authority whatsoever, Charterer agrees forthwith to notify Shipowner thereof by telefax, telegram or telex, confirmed by letter. (d) Notwithstanding the provisions of this Article 7, in the event any Vessel shall be arrested or detained by a marshal or other officer of any court of law, equity or admiralty jurisdiction in any country or nation of the world or by any government or other authority and shall not be released from arrest or detention within twenty (20) Business Days from the date of arrest or detention, Shipowner shall be at liberty to apply for and receive possession of and to take possession in such proceeding of such Vessel (subject however to this Demise Charter) and to protect its right, title and interest as owner in such Vessel with all the rights and powers that Shipowner might have, possess and exercise in any such event. If such arrest or detention is such that under this Article 7 Charterer is required to defend any Vessel against such arrest or detention, then all expenses incurred by Shipowner pursuant to the foregoing sentence shall constitute a debt due from Charterer to Shipowner, but Shipowner shall not be obligated to take the action authorized by the foregoing sentence.