Common use of Modification of Equipment Clause in Contracts

Modification of Equipment. Lessee shall, at its own expense, have the right to make repairs to the Equipment, and to make repairs, replacements, substitutions and modifications to all or any of the parts thereof. All such work and any part or component used or installed to make a repair or as a replacement, substitution or modification, shall thereafter comprise part of the Equipment and be subject to the provisions of this Lease. Such work shall not in any way damage the Equipment or cause it to be used for purposes other than those authorized under the provisions of State and Federal Law or those contemplated by this Lease; and the Equipment, upon completion of any such work shall be of a value which is not less than the value of the Equipment immediately prior to the commencement of such work. Any property for which a replacement or substitution is made pursuant to this Section may be disposed of by Lessee in such manner and on such terms as are determined by Lessee. Lessee will not permit any mechanic's or other lien to be established or remain against the Equipment for labor or materials furnished in connection with any repair, replacement, substitution or modification made by Lessee pursuant to this Section; provided that if any such lien is established and Lessee shall first notify Lessor of Lessee's intention to do so, Lessee may in good faith contest any lien filed or established against the Equipment, and in such event may permit the items so contested to remain undischarged and unsatisfied during the period of such contest and any appeal therefrom unless Lessor shall notify Lessee that, in the opinion of Independent Counsel, by nonpayment of any such item the interest of Lessor in the Equipment will be materially endangered or the Equipment or any part thereof will be subject to loss or forfeiture, in which event Lessee shall promptly pay and cause to be satisfied and discharged all such unpaid items or provide Lessor with full security against any such loss or forfeiture, in form satisfactory to Lessor. Lessor will cooperate fully with Lessee in any such contest, upon the request and at the expense of Xxxxxx.

Modification of Equipment. (a) If subsequent to the Acceptance Date of the relevant Lease, Lessee desires to make, or cause to be made, any Modifications to any Items of Equipment then subject to the Lease, Lessee, with the prior written consent of Lessor, which consent shall not be unreasonably withheld, may purchase and install any Modifications at Lessee's own expense, and any such Modifications shall be deemed to be part of the Items of Equipment leased under the relevant Lease; and Lessee shall be responsible for all related transportation and installation charges and maintenance charges for such Modifications. (b) If, during the term of the relevant Lease for any Items of Equipment, any Modifications which have been purchased by Lessee interfere with the normal and satisfactory operation or maintenance of the Items of Equipment, or any part thereof, Lessee shall, upon notice from Lessor to that effect, promptly remove such Modifications and restore the Items of Equipment to their original condition, reasonable wear and tear excepted. Upon termination of the Lease of such Items of Equipment, unless Lessor directs otherwise in writing, or unless retention of any Modifications purchased by Lessee is necessary to maintain any Items of Equipment in Return Condition, Lessee shall remove any such Modifications from such Items of Equipment and restore such Items of Equipment to Return Condition. (c) All Modifications with respect to any Items of Equipment which cannot be readily removed without causing material damage to such Items of Equipment, or which are not removed in accordance with the terms hereof, shall become and remain the property of Lessor. (d) In the event that the making of any Modifications require the removal or physical replacement of any existing component of any Items of Equipment leased under the relevant Lease, Lessee shall properly store any such replaced component at the same location where the Items of Equipment are located and, at the expiration or earlier termination of the Lease term, shall return such replaced component to Lessor, or its own expensedesignee, have in Return Condition. In the right to make repairs event that any such replaced component being stored by Lessee is lost, stolen or damaged to the Equipmentextent that it cannot be returned in Return Condition, and Lessee shall pay to make repairs, replacements, substitutions and modifications to all or any of the parts thereof. All such work and any part or component used or installed to make a repair or as a replacement, substitution or modification, shall thereafter comprise part of the Equipment and be subject Lessor an amount equal to the provisions of Casualty Value for such replaced component. (e) Anything in this Lease. Such work shall not in any way damage the Equipment or cause it to be used for purposes other than those authorized under the provisions of State and Federal Law or those contemplated by this Lease; and the Equipment, upon completion of any such work shall be of a value which is not less than the value of the Equipment immediately prior Section 17 to the commencement of such work. Any property for which a replacement or substitution is made pursuant to this Section may be disposed of by Lessee in such manner and on such terms as are determined by Lessee. Lessee will not permit any mechanic's or other lien to be established or remain against the Equipment for labor or materials furnished in connection with any repaircontrary notwithstanding, replacement, substitution or modification made by Lessee pursuant to this Section; provided that if any such lien is established and Lessee shall first notify Lessor make no nonseverable improvement to any Items of Lessee's intention to do soEquipment within the meaning of Revenue Procedure 75-21 as amended by Revenue Procedure 79- 48 and by Revenue Procedure 81-71 which, Lessee may in good faith contest any lien filed or established against if made, would not satisfy the Equipment, and in such event may permit the items conditions imposed by Section 4(4).03 of Revenue Procedure 75-21 as so contested to remain undischarged and unsatisfied during the period of such contest and any appeal therefrom unless Lessor shall notify Lessee that, in the opinion of Independent Counsel, by nonpayment of any such item the interest of Lessor in the Equipment will be materially endangered or the Equipment or any part thereof will be subject to loss or forfeiture, in which event Lessee shall promptly pay and cause to be satisfied and discharged all such unpaid items or provide Lessor with full security against any such loss or forfeiture, in form satisfactory to Lessor. Lessor will cooperate fully with Lessee in any such contest, upon the request and at the expense of Xxxxxxamended.

Modification of Equipment. Lessee shall, shall at its own expense, have the right to make repairs to the Equipment, and to make repairs, replacements, substitutions and modifications to all or any part of the parts thereof. All such work and any part or component used or installed to make a repair or as a replacement, substitution or modification, shall thereafter comprise part of the Equipment and be subject to the provisions of this the Lease. Such work shall not in any way damage the Equipment or cause it to be used for purposes other than those authorized under the provisions of State and or Federal Law or those contemplated by this Lease; and the Equipment, upon completion competition of any such work shall be of a value which is not less than the value of the Equipment immediately prior to the commencement of such work. Any property for which a replacement or substitution is made pursuant to this Section may be disposed of by Lessee in such manner and on such terms as are determined by Lessee. Lessee will not permit any mechanic's ’s or other lien to be established or remain against the Equipment for labor or materials furnished in connection with any repair, replacement, substitution or modification made by Lessee pursuant to this Section; provided that if any such lien is established and Lessee shall first notify Lessor of Lessee's ’s intention to do so, Lessee may in good faith contest any lien filed or established against the Equipment, and in such event may permit the items so contested to remain undischarged and unsatisfied during the period of such contest and any appeal therefrom unless Lessor shall notify Lessee that, in the opinion of Independent Counsel, by nonpayment of any such item items the interest of Lessor in the Equipment will be materially endangered or the Equipment or any part thereof will be subject to loss or forfeiture, in which event Lessee shall promptly pay and cause to be satisfied and discharged all such unpaid items or provide Lessor with full security against any such loss or forfeiture, in form satisfactory to Lessor. Lessor Lessee will cooperate fully with Lessee in any such contest, upon the request and at the expense of Xxxxxx.