Obligation to Grant Security payment default
Obligation to Grant Security. (a) The Security Deposit (if applicable) shall initially be for the amount specified in Item 5 of the Reference Schedule. If a Security Deposit is applicable the Access Holder must deliver to QR, prior to the operation of Train Services, security for the performance of the Access Holder’s obligations under this Agreement in the form of:
Obligation to Grant Security. (a) Subject to clause 4.9(b), the Operator will deliver to ARTC and keep current at all times during the Term, security for the Operator’s obligations under this Agreement in the form of an unconditional and irrevocable bank guarantee, letter of credit, performance or insurance bond (“Security”) issued by a bank holding an Australian banking licence or such other reputable person or institution accepted by ARTC in the amount of the average of 4 weeks Charges and containing such other terms and conditions acceptable to ARTC.
Obligation to Grant Security. Sub-clause 4.8(b) provides for security to be given if the operator defaults in the payment of monies and does not remedy that default within 7 days. As previously requested, it is reasonable to expect that an operator would be given written notice of a default prior to security being required. Further, sub-clause 4.8 (e) provides that if security is required, it will be reviewed every 12 months from the Commencement Date with the results of the review not subject to the dispute resolution clauses. It is not clear what a ‘review’ means. Could the amount of security required be increased? It is only reasonable for this review to be subject to the dispute resolution clause.
Obligation to Grant Security. (1) Subject to clause 4.8(2), the Operator must, at GWAN's request and at its absolute discretion, deliver to GWAN and keep current at all times during the Term, security for the Operator’s obligations under this Agreement in the form and for the amount specified at Item E of Schedule 1, or in any other form agreed by GWAN (“Security”), and containing such other terms and conditions as are acceptable to GWAN.
Obligation to Grant Security. (a) Subject to clause 4.6(b), the Operator must deliver to TfNSW, and keep current at all times during the Term, security for the Operator’s obligations under this Agreement in the form of an unconditional and irrevocable bank guarantee, (“Security”) issued by a bank holding an Australian banking licence or such other reputable person or institution accepted by TfNSW in the amount of 3 months Charges or $15,000, whichever is greater and containing such other terms and conditions acceptable to TfNSW.
