Common use of Other Vessels Clause in Contracts

Other Vessels. Buyer warrants that throughout the term of service of any Vessel (other than a tanker) under a Transaction, such Vessel shall maintain full and valid P&I Insurance, including valid Pollution Cover, from a P&I Club that is a member of the International Group of P&I Clubs, or, if such Vessel is not entered with a P&I Club, full and valid commercial insurance covering the same classes of risks as would be covered by customary P&I Insurance and Pollution Cover (“Commercial Insurance”) on such Vessel. Such P&I Insurance, Pollution Cover or Commercial Insurance shall be for Buyer’s account, free of cost and expense to Seller. If requested to do so at any time during the term of a Transaction, Buyer shall promptly furnish to Seller reasonable evidence of the foregoing required P&I Insurance, Pollution Cover or Commercial Insurance. Buyer shall notify Seller immediately of any change or threatened change in the aforesaid P&I Insurance, Pollution Cover or Commercial Insurance. The foregoing obligations of Buyer are an essential part of a Transaction. The obligations of Seller under a Transaction are conditioned on such insurance obligations. Any breach of such insurance obligations shall entitle Seller to terminate the relevant Transaction without limiting its right to recover damages.

Other Vessels. Buyer warrants that throughout the term of service of any Vessel (other than a tanker) under a Transactionthis Agreement, such Vessel shall maintain full and valid P&I Insurance, including valid Pollution Cover, from a P&I Club that is a member of the International Group of P&I Clubs, or, if such Vessel is not entered with a P&I Club, full and valid commercial insurance covering the same classes of or risks as would be covered by customary P&I Insurance and Pollution Cover (“Commercial Liability Insurance”) on such Vessel. Such P&I Insurance, Pollution Cover or Commercial Liability Insurance shall be for Buyer’s account, free of cost and expense to Seller. If requested to do so at any time during the term of a Transactionthis Agreement, Buyer shall promptly furnish to Seller reasonable evidence of the foregoing required P&I Insurance, Pollution Cover or Commercial Liability Insurance. Buyer shall notify Seller immediately of any change or threatened change in the aforesaid P&I Insurance, Pollution Cover or Commercial Liability Insurance. The foregoing obligations of Buyer are an essential part of a Transactionthis Agreement. The obligations of Seller under a Transaction this Agreement are conditioned on such insurance obligations. Any breach of such insurance obligations shall entitle Seller to terminate the relevant Transaction this Agreement without limiting its right to recover damages.