OVERSIGHT AND CUT. THROUGH
(a) Whenever FCIC determines that the Company is unable to substantially fulfill an obligation that materially affects its performance under this Agreement with respect to some or all of the eligible crop insurance contracts it has in its book of business, FCIC may impose one or more of the following on the Company:
(1) Require additional reporting to FCIC of financial or operational information related to business conducted under the Agreement.
(2) Allow the placement of representatives of FCIC at any location of the Company and its service providers to monitor activities that directly or indirectly affect the performance of the Company’s obligations under this Agreement.
(3) Require the Company to obtain approval from FCIC of some or all decisions or actions (including, but not limited to, any transaction, payment, agreement, and servicing of eligible crop insurance contracts) taken or contemplated by the Company or its service providers that could directly or indirectly affect the performance of the Company’s obligations under this Agreement.
(4) Take all reasonable steps to preserve the assets and financial and operating capabilities of the Company to perform its obligations under this Agreement.
(5) Transfer to FCIC, or its designee, without further action of the Company, any or all eligible crop insurance contracts. With respect to any eligible crop insurance contract transferred to FCIC:
(A) FCIC will assume all obligations for unpaid losses whether occurring before or after the date of transfer regarding such eligible crop insurance contracts, and the Company must pay FCIC all funds in possession of the Company and its affiliates with respect to all such eligible crop insurance contracts transferred including, but not limited to, premiums collected or any payments from commercial reinsurers related to the book of business.
(B) FCIC, or its designee, will have the right to conduct all activities related to the sale and service of eligible crop insurance contracts.
(C) FCIC has the right to all uncollected premiums on all eligible crop insurance contracts.
(D) Any uncollected debts owed to the Company under an eligible crop insurance contract will become a debt owed to FCIC.
(E) To the extent that FCIC contracts for an AIP or other entity to service the transferred eligible crop insurance contracts, the AIP or other entity will receive A&O subsidy for service the AIP or other entity must perform for such eligible crop insurance con...
OVERSIGHT AND CUT. Through (Consequences of inability 25-26 to perform under the Agreement, effect of supervision, rehabilitation or liquidation, and transfer and service of eligible livestock price insurance contracts)
OVERSIGHT AND CUT. Through 1. Whenever FCIC determines that the Company is unable to substantially fulfill an obligation that materially affects its performance under this Agreement with respect to some or all of the eligible crop insurance contracts it has in its book of business, FCIC may impose one or more of the following on the Company: a. Require additional reporting to FCIC of financial or operational information related to business conducted under the Agreement. b. Allow the placement of representatives of FCIC at any location of the Company and its service providers to monitor activities that directly or indirectly affect the performance of the Company’s obligations under this Agreement. c. Obtain approval of FCIC of some or all decisions or actions (including but not limited to any transaction, payment, agreement, and servicing of eligible crop insurance contracts) taken or contemplated by the Company or its service providers that could directly or indirectly affect the performance of the Company’s obligations under this Agreement. d. Take all reasonable steps to preserve the assets and financial and operating capabilities of the Company to perform its obligations under this Agreement.
