Common use of Maintenance of Vessels Clause in Contracts

Maintenance of Vessels. (a) The Mortgagor will at all times, without cost or expense to the Mortgagee, maintain and preserve the Vessels in all material respects, and cause the Vessels in all material respects to be tight, staunch, strong and well and sufficiently tackled, appareled, victualed, fitted, manned, furnished and equipped and to be maintained and preserved, in good running order and repair so that the Vessels in all material respects shall be well equipped and seaworthy, in good working order, repair and operating condition, ordinary wear and tear excepted. At all times, at its own cost and expense, the Mortgagor will exercise due diligence to maintain and preserve the Vessels in all material respects in as good condition, working order and repair as at the time of the execution of this Fleet Mortgage, ordinary wear and tear and depreciation excepted, and will maintain the Vessels in all material respects in accordance with good marine maintenance practice and procedures and applicable legal or regulatory requirements for the service in which they then are or will be engaged, and in such condition as will enable the Vessels in all material respects to pass such inspection as may be required by marine underwriters as a condition of their writing such insurance and in such amounts as is required under this Fleet Mortgage. Furthermore, the Mortgagor will cause each Vessel to be periodically inspected, drydocked and recoated (hull paint), and its machinery overhauled in accordance with normal marine practices or as may be required by the United States Coast Guard. At the request of the Mortgagee, the Mortgagor shall cause a marine surveyor satisfactory to the Mortgagee to perform a survey, inspection or other actions as may be necessary on a representative sample of the Vessels (the number or location of such Vessels included in such representative sample to be determined by the Mortgagee in its discretion), to prove or establish that the Vessels in all material respects have been maintained and preserved in accordance with the provisions of this Section 2.10(a). In addition, the Mortgagor shall provide at the end of each six-month period commencing six weeks following the date hereof to the Mortgagee a certificate of the chief marine operations officer (currently James J. Farley, Senior Vice President Transportation Services) of thx Xxxxxxxxx xxxting that the Vessels have been maintained and preserved in accordance with the requirements of this Section 2.10(a).

Maintenance of Vessels. (a) The Mortgagor will at all times, without cost or expense to the Mortgagee, maintain and preserve the Vessels in all material respects, and cause the Vessels in all material respects to be tight, staunch, strong and well and sufficiently tackled, appareled, victualed, fitted, manned, furnished and equipped and to be maintained and preserved, in good running order and repair so that the Vessels in all material respects shall be well equipped and seaworthy, in good working order, repair and operating condition, ordinary wear and tear excepted. At all times, at its own cost and expense, the Mortgagor will exercise due diligence to maintain and preserve the Vessels in all material respects in as good condition, working order and repair as at the time of the execution of this Fleet Mortgage, ordinary wear and tear and depreciation excepted, and will maintain the Vessels in all material respects in accordance with good marine maintenance practice and procedures and applicable legal or regulatory requirements for the service in which they then are or will be engaged, and in such condition as will enable the Vessels in all material respects to pass such inspection as may be required by marine underwriters as a condition of their writing such insurance and in such amounts as is are required under this Fleet Mortgage. Furthermore, the Mortgagor will cause each Vessel to be periodically inspected, drydocked and recoated (hull paint), and its machinery overhauled in accordance with normal marine practices or as may be required by the United States Coast Guard. At the request of the Mortgagee, the Mortgagor shall cause a marine surveyor satisfactory to will permit any representatives designated by the Mortgagee to perform a survey, inspection or other actions as may be necessary on a representative sample conduct appraisals of the Vessels and Inventory and pay the reasonable fees and expenses in connection therewith (the number or location except that so long no Event of such Vessels included in such representative sample Default exists and is continuing, Mortgagor shall only be required to be determined by reimburse the Mortgagee for two (2) Vessel Appraisals (provided, that not more than one (1) such Vessel Appraisal shall be a physical appraisal) per calendar year, unless at any time during such year a Covenant Testing Trigger Period occurs, in its discretionwhich case Mortgagor shall then be required to reimburse Mortgagee for three (3) Vessel Appraisals and three (3) appraisals of Inventory per calendar year); provided that if any Event of Default has occurred and is continuing then no such limitation on Mortgagor’s reimbursement obligations shall apply. Unless an Event of Default has occurred and is continuing, to prove Mortgagee shall not request such a survey or establish that the Vessels in all material respects have been maintained and preserved in accordance with the provisions of this Section 2.10(a)inspection more than once per calendar year. In addition, the Mortgagor shall provide at the end of each six-month period commencing six weeks following the date hereof to the Mortgagee Mortgagee, a certificate of an officer of Mortgagor (designated in writing by the chief marine operations officer (currently James J. Farley, Senior Vice President Transportation ServicesMortgagor to the Mortgagee) of thx Xxxxxxxxx xxxting stating that the Vessels have been maintained and preserved in accordance with the requirements of this Section 2.10(a).