Non-Payment or Non-Performance Sample Clauses
The Non-Payment or Non-Performance clause defines the consequences and procedures that apply when one party fails to fulfill its payment obligations or does not perform as required under the contract. Typically, this clause outlines the steps the non-breaching party can take, such as issuing a notice of default, providing a cure period, or pursuing remedies like suspension of services or termination of the agreement. Its core function is to protect parties from the risks associated with non-compliance by establishing clear recourse and encouraging timely fulfillment of contractual duties.
Non-Payment or Non-Performance. If any Loan Party does not:
(a) Pay any Obligations (or money which would be Obligations if its payment was enforceable, valid and not illegal) in accordance with the Loan Documents, each Guarantor must pay that money on demand as if it was the principal obligor; or
(b) Perform any of its other obligations under a Loan Document, each Guarantor must perform, or procure the performance of, those obligations (without the need for demand by Agent or Lenders) in accordance with the Loan Documents.