PURCHASE PROVISION Clause Samples
PURCHASE PROVISION. At the end of the Base Term for a Unit, if the Lease has not been earlier terminated with respect to the Unit, Lessee shall purchase the Unit for an amount equal to $1.00 (the "Purchase Amount"). Upon Lessee's payment of the Purchase Amount, Lessor shall execute and deliver, to Lessee, or its assignee or nominee, a ▇▇▇▇ of sale (without representations or warranties except that the Unit is free and clear of all claims, liens, security interests and other encumbrances by or in favor of any person claiming by, through or under Lessor) for the Unit, and such other documents as may be required to release the Unit from the Lease and to transfer title thereto to Lessee or such assignee or nominee, in such form as may reasonably be requested by Lessee, all at Lessee's expense.
PURCHASE PROVISION. A. After the third year of the generation contract term, LIPA has a one year window in which it can purchase for Fair Market Value not less than all of GENCO's generating assets on Long Island (i.e. - All existing generating capacity on Long Island currently owned by LILCO), including appropriately sized parcels, as determined by LIPA's consulting engineer and con- firmed by a mutually agreeable independent consulting engineer at each of its existing generating sites.
B. LIPA and LILCO will each select an investment bank to determine the price at Fair Market Value. If no agreement can be reached a third investment bank, acceptable to both NYECo and LIPA will be selected to mediate. LIPA will pay all investment banking fees, but must agree to all fees in advance.
C. All proceeds from the sale are to NYECo's account.
D. If LIPA exercises this option, it will have the right to choose a new manager of the generating assets or establish a generating management contract with NYECo with sufficient notice to provide for an orderly transition or enter into a contract with NYECo.
E. LIPA agrees that no layoffs or salary cuts to NYECO non-union personnel will result from its purchase of GENCO's assets for two (2) years.