Common use of Performance Guarantee for Project Clause in Contracts

Performance Guarantee for Project. 10.1.1 The Developer hereby confirms that it has duly provided the Performance Guarantee for Project, being a bank guarantee in form set out in Schedule 18 (Performance Guarantee for Project) and undertakes to keep valid and effective (including through necessary extensions and/ or renewals and/ or reinstatements thereof) such guarantee until expiry of 6 (six) months beyond the date on which the last of the following obligations are completed: (a) the Developer has paid to Authority all the instalments of the Lease Premium along with all overdue payments as per the Schedule 3 (Schedule of Payments); or (b) the Developer has completed the construction of the Project in terms of the Agreement; or (c) the Completion Clearance has been issued by the Nodal Officer in respect of the entire Project. 10.1.2 The Performance Guarantee for Project shall be for such amount as set out under Recital of the Agreement , and shall be as security /guarantee against any default in timely payment of consideration, other dues to Authority and fulfilment of other obligations as per the Agreement including timely completion of the Project. 10.1.3 Without prejudice to the generality of the foregoing, it is clarified that Authority shall be entitled to draw and forfeit upon the Performance Guarantee for Project, in respect of any breach or default of the Developer under the Agreement, including without limitation in respect of the Commercial Development Project, the Redevelopment Project and/ or the Station Development Project. Provided that where the delay and/ or default entitling Authority to encash such Performance Guarantee for Project, (a) relates to any subject other than the payment of Consideration (including any interest thereon); and (b) the extent of the entitlement of Authority to encash the Performance Guarantee for Project, is less than the extent of such Performance Guarantee (or where the said Performance Guarantee has been provided through more than one instrument, then the amount guaranteed through each such instrument), then Authority shall, prior to encashing the Performance Guarantee for Project, provide to the Developer, at least 15 (fifteen) days notice thereof, requiring the Developer to make the requisite payment. Provided that the foregoing shall not be applicable to any event under the Agreement where Authority is entitled to forfeit the entire Performance Guarantee for Project. 10.1.4 In the event Authority encashes/ invokes/ draws on the Performance Guarantee for Project, in part or in full (where such Performance Guarantee is provided through more than one instruments), in accordance with the terms of the Agreement, the Developer shall forthwith, and no later than 15 (fifteen) days therefrom, restore the value of the Performance Guarantee for Project, and/ or provide a new Performance Guarantee for Project in replacement thereof, so as to ensure that the Performance Guarantee for Project is maintained to the entire extent required under the Agreement. 10.1.5 In the event Authority approves extension of the time for completion of the Project or payment of Lease Premium, Annual Lease Rent or any other amount payable under the Agreement, the Developer shall arrange for an extension of the Performance Guarantee for Project so as to comply with the requirements of this Article at all times. In the event the Developer fails to extend the Performance Guarantee for Project, Authority shall be entitled to receive the amount thereunder and the Developer shall, within the time so granted at the sole discretion of Authority, replenish the Performance Guarantee for Project. 10.1.6 In case the Agreement is terminated due to Developer’s Event of Default, Authority shall have the right to invoke the Performance Guarantee for Project.

Performance Guarantee for Project. 10.1.1 The Developer hereby confirms that it has duly provided the Performance Guarantee for Project, being a bank guarantee in form set out in Schedule 18 (Performance Guarantee for Project) and undertakes to keep valid and effective (including through necessary extensions and/ or renewals and/ or reinstatements thereof) such guarantee until expiry of 6 (six) months beyond the date on which the last of the following obligations are completed: (a) the Developer has paid to Authority all the instalments of the Lease Premium along with all overdue payments as per the Schedule 3 (Schedule of Payments); or (b) the Developer has completed the construction of the Project in terms of the Agreement; or (c) the Completion Clearance has been issued by the Nodal Officer in respect of the entire Project. 10.1.2 The Performance Guarantee for Project shall be for such amount as set out under Recital of the Agreement , and shall be as security /guarantee against any default in timely payment of consideration, other dues to Authority and fulfilment of other obligations as per the Agreement including timely completion of the Project. 10.1.3 Without prejudice to the generality of the foregoing, it is clarified that Authority shall be entitled to draw and forfeit upon the Performance Guarantee for Project, in respect of any breach or default of the Developer under the Agreement, including without limitation in respect of the Commercial Development Project, the Redevelopment Project and/ or the Station Development Project. Provided that where the delay and/ or default entitling Authority to encash such Performance Guarantee for Project, (a) relates to any subject other than the payment of Consideration (including any interest thereon); and (b) the extent of the entitlement of Authority to encash the Performance Guarantee for Project, is less than the extent of such Performance Guarantee (or where the said Performance Guarantee has been provided through more than one instrument, then the amount guaranteed through each such instrument), then Authority shall, prior to encashing the Performance Guarantee for Project, provide to the Developer, at least 15 (fifteen) days notice thereof, requiring the Developer to make the requisite payment. Provided that the foregoing shall not be applicable to any event under the Agreement where Authority is entitled to forfeit the entire Performance Guarantee for Project. 10.1.4 In the event Authority encashes/ invokes/ draws on the Performance Guarantee for Project, in part or in full (where such Performance Guarantee is provided through more than one instruments), in accordance with the terms of the Agreement, the Developer shall forthwith, and no later than 15 (fifteen) days therefrom, restore the value of the Performance Guarantee for Project, and/ or provide a new Performance Guarantee for Project in replacement thereof, so as to ensure that the Performance Guarantee for Project is maintained to the entire extent required under the Agreement. 10.1.5 In the event Authority approves extension of the time for completion of the Project or payment of Lease Premium, Annual Lease Rent or any other amount payable under the Agreement, the Developer shall arrange for an extension of the Performance Guarantee for Project so as to comply with the requirements of this Article at all times. In the event the Developer fails to extend the Performance Guarantee for Project, Authority shall be entitled to receive the amount thereunder and the Developer shall, within the time so granted at the sole discretion of Authority, replenish the Performance Guarantee for Project. 10.1.6 In case the Agreement is terminated due to Developer’s Event of Default, Authority shall have the right to invoke the Performance Guarantee for Project.

Performance Guarantee for Project. 10.1.1 The Developer hereby confirms that it has duly provided the Performance Guarantee for Project, being a bank guarantee in form set out in Schedule 18 (Performance Guarantee for Project) and undertakes to keep valid and effective (including through necessary extensions and/ or renewals and/ or reinstatements thereof) such guarantee until expiry of 6 (six) six months beyond the date on which the last of the following obligations are completed: (a) the Developer has paid to Authority all the instalments of the Lease Premium along with all overdue payments as per the Schedule 3 (Schedule of Payments); or (b) the Developer has completed the construction of the Project in terms of the Agreement; or (c) the Completion Clearance has been issued by the Nodal Officer in respect of the entire Project. 10.1.2 The Performance Guarantee for Project shall be for such amount as set out under Recital of the Agreement , and shall be as security /guarantee against any default in timely payment of consideration, other dues to Authority and fulfilment of other obligations as per the Agreement including timely completion of the Project. 10.1.3 Without prejudice to the generality of the foregoing, it is clarified that Authority shall be entitled to draw and forfeit upon the Performance Guarantee for Project, in respect of any breach or default of the Developer under the Agreement, including without limitation in respect of the Commercial Development Project, the Redevelopment Project and/ or the Station Development Project. Provided that where the delay and/ or default entitling Authority to encash such Performance Guarantee for Project, (a) relates to any subject other than the payment of Consideration (including any interest thereon); and (b) the extent of the entitlement of Authority to encash the Performance Guarantee for Project, is less than the extent of such Performance Guarantee (or where the said Performance Guarantee has been provided through more than one instrument, then the amount guaranteed through each such instrument), then Authority shall, prior to encashing the Performance Guarantee for Project, provide to the Developer, at least 15 (fifteen) days notice thereof, requiring the Developer to make the requisite payment. Provided that the foregoing shall not be applicable to any event under the Agreement where Authority is entitled to forfeit the entire Performance Guarantee for Project. 10.1.4 In the event Authority encashes/ invokes/ draws on the Performance Guarantee for Project, in part or in full (where such Performance Guarantee is provided through more than one instruments), in accordance with the terms of the Agreement, the Developer shall forthwith, and no later than 15 (fifteen) days therefrom, restore the value of the Performance Guarantee for Project, and/ or provide a new Performance Guarantee for Project in replacement thereof, so as to ensure that the Performance Guarantee for Project is maintained to the entire extent required under the Agreement. 10.1.5 In the event Authority approves extension of the time for completion of the Project or payment of Lease Premium, Annual Lease Rent or any other amount payable under the Agreement, the Developer shall arrange for an extension of the Performance Guarantee for Project so as to comply with the requirements of this Article at all times. In the event the Developer fails to extend the Performance Guarantee for Project, Authority shall be entitled to receive the amount thereunder and the Developer shall, within the time so granted at the sole discretion of Authority, replenish the Performance Guarantee for Project. 10.1.6 In case the Agreement is terminated due to Developer’s Event of Default, Authority shall have the right to invoke the Performance Guarantee for Project.

Performance Guarantee for Project. 10.1.1 The Developer hereby confirms that it has duly provided the Performance Guarantee for Project, being a bank guarantee in form set out in Schedule 18 (Performance Guarantee for Project) and undertakes to keep valid and effective (including through necessary extensions and/ or renewals and/ or reinstatements thereof) such guarantee until expiry of 6 (six) months beyond the date on which the last of the following obligations are completed: (a) the Developer has paid to Authority all the instalments of the Lease Premium along with all overdue payments as per the Schedule 3 (Schedule of Payments); or (b) the Developer has completed the construction of the Project in terms of the Agreement; or (c) the Completion Clearance has been issued by the Nodal Officer in respect of the entire Project. 10.1.2 The Performance Guarantee for Project shall be for such amount as set out under Recital of the Agreement , and shall be as security /guarantee against any default in timely payment of consideration, other dues to Authority and fulfilment of other obligations as per the Agreement including timely completion of the Project. 10.1.3 Without prejudice to the generality of the foregoing, it is clarified that Authority shall be entitled to draw and forfeit upon the Performance Guarantee for Project, in respect of any breach or default of the Developer under the Agreement, including without limitation in respect of the Commercial Development Project, the Redevelopment Project and/ or the Station Development Project. Provided that where the delay and/ or default entitling Authority to encash such Performance Guarantee for Project, (a) relates to any subject other than the payment of Consideration (including any interest thereon); and (b) the extent of the entitlement of Authority to encash the Performance Guarantee for Project, is less than the extent of such Performance Guarantee (or where the said Performance Guarantee has been provided through more than one instrument, then the amount guaranteed through each such instrument), then Authority shall, prior to encashing the Performance Guarantee for Project, provide to the Developer, at least 15 (fifteen) days notice thereof, requiring the Developer to make the requisite payment. Provided that the foregoing shall not be applicable to any event under the Agreement where Authority is entitled to forfeit the entire Performance Guarantee for Project. 10.1.4 In the event Authority encashes/ invokes/ draws on the Performance Guarantee for Project, in part or in full (where such Performance Guarantee is provided through more than one instruments), in accordance with the terms of the Agreement, the Developer shall forthwith, and no later than 15 (fifteen) days therefrom, restore the value of the Performance Guarantee for Project, and/ or provide a new Performance Guarantee for Project in replacement thereof, so as to ensure that the Performance Guarantee for Project is maintained to the entire extent required under the Agreement. 10.1.5 In the event Authority approves extension of the time for completion of the Project or payment of Lease Premium, Annual Lease Rent or any other amount payable under the Agreement, the Developer shall arrange for an extension of the Performance Guarantee for Project so as to comply with the requirements of this Article at all times. In the event the Developer fails to extend the Performance Guarantee for Project, Authority shall be entitled to receive the amount thereunder and the Developer shall, within the time so granted at the sole discretion of Authority, replenish the Performance Guarantee for Project. 10.1.6 In case the Agreement is terminated due to Developer’s Developer‟s Event of Default, Authority shall have the right to invoke the Performance Guarantee for Project.