Common use of Payment of Pathnet Items Clause in Contracts

Payment of Pathnet Items. To ensure payment of the Pathnet Estimated Costs, simultaneously with the execution and delivery of this Agreement Pathnet shall: (a) deliver to Incumbent vendor credit assurances (the "Vendor Credit Assurances"), which Vendor Credit Assurances shall establish and confirm, among other things, that Pathnet has an adequate credit facility to acquire the Equipment and Services provided by such vendor. (As determined by Pathnet in its sole discretion, such Vendor Credit Assurances may be in the form of a copy of the applicable vendor's term sheet or excerpts from the vendor's credit agreement with Pathnet); and (b) deliver to Incumbent an escrow agreement substantially in the form attached hereto as Schedule D (the "Escrow Agreement") pursuant to which, among other things, (i) Pathnet shall place in escrow funds for each Segment in an amount equal to fifty percent (50%) of (the Pathnet Estimated Costs less the cost of any equipment provided by the vendors referred to in the Vendor Credit Assurances), (ii) the escrow agent named in such Escrow Agreement shall disburse to Pathnet the funds necessary to pay for the cost of the Pathnet Items as such Pathnet Items are completed and as Pathnet receives invoices relating to such Pathnet Items, (iii) in the event that Pathnet fails to timely meet its payment responsibilities with respect to the Pathnet Items, the escrow agent named in such Escrow Agreement shall disburse to Incumbent the funds necessary to cure such failure to pay by Pathnet and (iv) such Escrow Agreement shall terminate upon Commissioning of the System and upon such termination any funds remaining in escrow, including any interest accrued on such funds shall be disbursed to Pathnet.

Payment of Pathnet Items. To ensure payment of the Pathnet PathNet Estimated Costs, simultaneously with the execution and delivery of this Agreement Pathnet PathNet shall: (a) deliver to Incumbent vendor credit assurances (the "Vendor Credit AssurancesVENDOR CREDIT ASSURANCES"), which Vendor Credit Assurances shall establish and confirm, among other things, that Pathnet PathNet has an adequate credit facility to acquire the Equipment and Services provided by such vendor. (As determined by Pathnet in its sole discretion, such Vendor Credit Assurances may be in the form of a copy of the applicable vendor's term sheet or excerpts from the vendor's credit agreement with Pathnet); andor (b) deliver to Incumbent an escrow agreement substantially in the form attached hereto as Schedule D (the "Escrow Agreement") Agreement pursuant to which, among other things, (i) Pathnet PathNet shall place in escrow funds for each Segment in an amount equal to fifty one hundred percent (50100%) of (the Pathnet PathNet Estimated Costs less the cost of any equipment provided by the vendors referred to in the Vendor Credit AssurancesAssurances (fifty percent (50%) of such costs to be delivered within sixty (60) days of delivery by PathNet of the System Design and fifty percent (50%) to be delivered within one hundred and twenty (120) days of delivery of the first escrow payment), (ii) the escrow agent named in such Escrow Agreement shall disburse to Pathnet PathNet the funds necessary to pay for the cost of the Pathnet PathNet Items as such Pathnet PathNet Items are completed and as Pathnet PathNet receives invoices relating to such Pathnet PathNet Items, (iii) in the event that Pathnet PathNet fails to timely meet its payment responsibilities with respect to the Pathnet ItemsPathNet Items or fails to complete the System in accordance with SECTION 13.2.1 (ix), the escrow agent named in such Escrow Agreement shall disburse to Incumbent the funds necessary to cure such failure to pay by Pathnet and PathNet and/or complete the work (iv) such Escrow Agreement shall terminate upon Commissioning of the System and upon such termination any funds remaining in escrow, including any interest accrued on such funds shall be disbursed to PathnetPathNet.

Payment of Pathnet Items. To ensure payment of the Pathnet Estimated CostsCosts and within thirty (30) days after the Effective Date, simultaneously with the execution and delivery of this Agreement Pathnet shall: (a) deliver to Incumbent vendor credit assurances (the "Vendor Credit Assurances"), which Vendor Credit Assurances shall establish and confirm, among other things, that Pathnet has an adequate credit facility to acquire the Equipment and Services provided by such vendor. (As determined by Pathnet in its sole discretion, such Vendor Credit Assurances may be in the form of a copy of the applicable vendor's term sheet or excerpts from the vendor's credit agreement with Pathnet); andor (b) deliver to Incumbent an escrow agreement substantially in the form attached hereto as Schedule D (the "Escrow Agreement") Agreement pursuant to which, among other things, (i) Pathnet shall place in escrow funds for each Segment in an amount equal to fifty one hundred percent (50100%) of (the Pathnet Estimated Costs of each Segment upon mutual agreement of the budget for such Segment less the cost of any equipment provided by the vendors referred to in the Vendor Credit Assurances), (ii) the escrow agent named in such Escrow Agreement shall disburse to Pathnet the funds necessary to pay for the cost of the Pathnet Items as such Pathnet Items are completed and as Pathnet receives invoices relating to such Pathnet Items, (iii) in the event that Pathnet fails to timely meet its payment responsibilities with respect to the Pathnet ItemsItems or fails to complete the System in accordance with Section 13.2.1 (ix), the escrow agent named in such Escrow Agreement shall disburse to Incumbent the funds necessary to cure such failure to pay by Pathnet and/or complete the work and (iv) such Escrow Agreement shall terminate upon Commissioning of the System and upon such termination any funds remaining in escrow, including any interest accrued on such funds shall be disbursed to Pathnet.