Common use of Physical Damage Insurance Clause in Contracts

Physical Damage Insurance. (a) The insurance maintained pursuant to Section 12.1(a) shall provide that (i) so long as no Significant Default shall have occurred and be continuing the proceeds up to $100,000 for any loss or damage to any Unit shall be paid to Lessee for the purpose of repairing or restoring such Unit that has been damaged, (ii) so long as the Equipment Notes remain outstanding, the proceeds in excess of $100,000 for any loss or damage to any Unit shall be paid to the Indenture Trustee under a standard loss payable clause, and thereafter to Lessor and (iii) Lessee will be entitled, at its own expense, to make all proofs of loss and/or take all other steps necessary to collect the proceeds of such insurance.

Physical Damage Insurance. (a) The insurance maintained pursuant to Section 12.1(a) shall provide that (i) so long as no Significant Default shall have occurred and be continuing the proceeds up to $100,000 for any loss or damage to any Unit shall be paid to Lessee for the purpose of repairing or restoring such Unit that has been damaged, (ii) so long as the Equipment Notes remain outstanding, the proceeds in excess of $100,000 for any loss or damage to any Unit shall be paid to the Indenture Trustee Trustee, so long as the Equipment Notes remain outstanding, and thereafter to Lessor, in each case under a standard loss payable clause, and thereafter to Lessor and (iii) Lessee will be entitled, at its own expense, to make all proofs of loss and/or take all other steps necessary to collect the proceeds of such insurance.