Realization Upon Liquidated Contract Sample Clauses
The 'Realization Upon Liquidated Contract' clause defines how the parties will handle the fulfillment and settlement of obligations when a contract is terminated and the parties agree to a liquidated amount as compensation. In practice, this clause specifies the process for calculating and paying the agreed-upon sum, often detailing timelines, payment methods, and any conditions that must be met before payment is made. Its core function is to provide certainty and efficiency in resolving outstanding obligations, thereby avoiding disputes over damages and streamlining the conclusion of the contractual relationship.
Realization Upon Liquidated Contract. The Servicer will use its best efforts consistent with the Servicing Standard to repossess or otherwise comparably convert the ownership of any Equipment relating to a Liquidated Contract and will act as transfer and processing agent for Equipment or Applicable Security which it repossesses. The Servicer will follow such other practices and procedures, consistent with the Servicing Standard, in order to realize upon such Equipment or Applicable Security, which practices and procedures may include reasonable efforts to enforce all obligations of Obligors and repossessing and selling such Equipment or Applicable Security at public or private sale in circumstances other than those described in the preceding sentence. In any case in which any such Equipment or Applicable Security has suffered damage, the Servicer will not expend funds in connection with any repair or toward the repossession of such Equipment or Applicable Security unless it determines in its discretion that such repair and/or repossession will increase the Liquidation Proceeds by an amount greater than the amount of such expenses. The Servicer will remit to the Collection Account the Liquidation Proceeds received in connection with the transfer or disposition of Equipment or Applicable Security relating to a Liquidated Contract in accordance with Article VII hereof.
Realization Upon Liquidated Contract. 57 Section 5.16 Maintenance of Insurance Policies..........................................................57 Section 5.17 Certain Other Duties With Respect to Trust.................................................58 Section 5.18