Common use of Proof of Performance Clause in Contracts

Proof of Performance. Except as may otherwise be agreed in writing by the Guild and the AMPTP, the Guild, prior to the commencement of principal photography of a motion picture on which one or more Employees covered by this Agreement are employed, may require that the Company provide the Guild with a security interest in the motion picture and those rights necessary for the distribution of said picture for the purpose of securing Residuals, as that term is used in Article 30 of this Agreement, which are or may become due with respect to said motion picture. Before foreclosing on any security interest, the Guild shall notify the Company and Distributor of the default and advise the Company of its right to cure same within thirty (30) days.