Common use of Materiality of Creditworthiness Clause in Contracts

Materiality of Creditworthiness. If Supplier is performing Consolidated Billing hereunder, the Supplier’s creditworthiness, the satisfactory nature of any alternative arrangements that may be made hereunder, and the Supplier’s duty to keep the Company informed of developments that may be material to its creditworthiness or to the adequacy of any alternative arrangements in place are all material terms of this Agreement. Creditworthiness or satisfactory alternative arrangements must be maintained on an ongoing basis throughout the term of this Agreement. The Company may re- evaluate Supplier’s creditworthiness on a quarterly basis. If Company determines that Supplier must increase its credit support amount, Supplier will have thirty (30) days to do so. If such amount is not increased within this thirty-day period, Supplier will be deemed to be in Default, as defined in Article 5 above.