Common use of Refund by BUILDER Clause in Contracts

Refund by BUILDER. Within five (5) business days of receipt of BUYER's notice of cancellation of this Contract the BUILDER shall refund to the BUYER in U.S. Dollars the sum of: (a) the full amount of all sums paid by the BUYER to the BUILDER on account of the VESSEL; and (b) the cost delivered at BUILDER'S Shipyard of all OWNER Furnished Equipment which has been delivered to BUILDER's Shipyard for installation in the Vessel unless the BUILDER proceeds to dispute resolution under the provisions of Article XVII hereof. In such event, the BUILDER shall pay the BUYER interest at the rate of ten percent (10%) per annum on the amount required herein to be refunded to the BUYER, computed from the respective dates on which either such sums were paid by the BUYER to the BUILDER or the respective items of OWNER Furnished Equipment were delivered to BUILDER's Shipyard, to the date of remittance by wire transfer of such refund to the BUYER by the BUILDER. For purposes of the provisions addressing the BUYER's rights under this Contract (i) prior to execution of this Contract by the parties, BUILDER shall provide to the BUYER as partial security for BUILDER's obligations under this Contract a performance guarantee duly executed by Sembcorp Marine Limited in the form annexed as Exhibit "F", and (ii) on or before the Construction Commencement Date the BUILDER shall provide to the BUYER as partial security for BUILDER's obligations under this Contract an irrevocable stand-by letter of credit confirmed by a bank in the United States acceptable to BUYER, in an amount equivalent to ten percent (10%) of the Contract Price as defined in Article II, Paragraph 1, and in the form annexed as Exhibit "G" in order to partially assure refund to the BUYER of such sums as are contemplated in this Contract due to any event of BUILDER's default hereunder including warranties pursuant to Article X.

Refund by BUILDER. Within five Unless Builder duly contests any termination by Buyer by commencing arbitration within Ten (510) business working days (as defined below) of receipt of BUYER's receiving the relevant notice of cancellation of this Contract the BUILDER termination pursuant to Article XIII, Builder shall promptly refund to the BUYER in U.S. Dollars the sum of: (a) Buyer the full amount of all sums paid by the BUYER Buyer to the BUILDER Builder on account of the VESSEL; Vessel, provided that for this purpose the date of commencing arbitration shall be the date on which the Builder appoints an arbitrator and that the term “working day” shall mean a day which is not a public holiday (bincluding a Saturday and a Sunday) in Seoul, New York or London. The transfer and other bank charges of such refund shall be on the cost delivered at BUILDER'S Shipyard of all OWNER Furnished Equipment which has been delivered to BUILDER's Shipyard for installation in the Vessel unless the BUILDER proceeds to dispute resolution under the provisions of Article XVII hereofBuilder’s account. In such event, the BUILDER Builder shall pay the BUYER Buyer interest at the rate ate of ten six percent (106%) per annum for the date of such refund on the amount required herein to be refunded to the BUYERBuyer, computed from the respective dates on which either date following the date of receipt by Builder of each instalment or advance payment to the date of remittance of such sums were refund to Buyer by Builder, It is hereby understood by both parties that payment of any interest provided herein is by way of liquidated damages due to cancellation of this CONTRACT and not by way of compensation for use of money. If, the BUILDER is required to refund to the BUYER the instalments paid by the BUYER to the BUILDER or as provided in this Paragraph, the respective items of OWNER Furnished Equipment were delivered to BUILDER's Shipyard, to the date of remittance by wire transfer of such refund BUILDER shall return to the BUYER by the BUILDER. For purposes all of the provisions addressing BUYER’S supplies as stipulated in Article XVII which were not incorporated into the BUYER's rights under this Contract (i) prior to execution of this Contract by the parties, BUILDER shall provide VESSEL and pay to the BUYER as partial security for BUILDER's obligations under this Contract a performance guarantee duly executed by Sembcorp Marine Limited in the form annexed as Exhibit "F", and (ii) on or before the Construction Commencement Date the BUILDER shall provide an amount equal to the BUYER as partial security for BUILDER's obligations under this Contract an irrevocable stand-by letter of credit confirmed by a bank in the United States acceptable to BUYER, in an amount equivalent to ten percent (10%) of the Contract Price as defined in Article II, Paragraph 1, and in the form annexed as Exhibit "G" in order to partially assure refund cost to the BUYER of such those supplies incorporated into the VESSEL. As security for the due performance of its obligations under this Article X, Builder shall provide Buyer with a transferable irrevocable Letter of Guarantee issued by Builder’s Bank, in form and substance as annexed hereto, as Exhibit A, which cover the full amount of all sums as are contemplated in this Contract due paid by Buyer to Builder on account of the Vessel and any event of BUILDER's default hereunder including warranties interest payable thereon, if a termination will become effective pursuant to this Article X.(the “Refund Guarantee”). In the event that Buyer is obliged under the terms of the Refund Guarantee to return the original of the Refund Guarantee to the issuer thereof, if Buyer fails to do so within seven (7) days after it has become so obliged, Buyer shall be liable to indemnify Builder against all and any fees which Builder is required to pay to that issuer in respect of the Refund Guarantee after the expiry of that seven (7) day period.

Refund by BUILDER. Within five (5) business days of receipt of BUYER's notice of cancellation of this Contract the BUILDER shall refund to the BUYER in U.S. Dollars the sum of: (a) the full amount of all sums paid by the BUYER to the BUILDER on account of the VESSEL; and (b) the cost delivered at BUILDER'S Shipyard of all OWNER Furnished Equipment which has been delivered to BUILDER's Shipyard for installation in the Vessel unless the BUILDER proceeds to dispute resolution arbitration under the provisions of Article XVII hereof. In such event, the BUILDER shall pay the BUYER interest at the rate of ten percent (10%) per annum on the amount required herein to be refunded to the BUYER, computed from the respective dates on which either such sums were paid by the BUYER to the BUILDER or the respective items of OWNER Furnished Equipment were delivered to BUILDER's Shipyard, to the date of remittance by wire transfer of such refund to the BUYER by the BUILDER. For purposes of the provisions addressing the BUYER's rights under this Contract (i) prior to execution of this Contract by the partiesContract, BUILDER shall provide to the BUYER as partial security for BUILDER's obligations under this Contract a performance guarantee duly executed by Sembcorp Marine Limited in the form annexed as Exhibit "F", and (ii) on or before the Construction Commencement Date the BUILDER shall provide to the BUYER as partial security for BUILDER's obligations under this Contract both (i) an irrevocable stand-by letter of credit confirmed by a bank in the United States acceptable to BUYER, in an amount equivalent to ten percent (10%) of the Contract Price as defined in Article II, Paragraph 1, and in the form annexed as Exhibit "G" C-1", and (ii) an on demand performance bond issued by underwriters of recognized responsibility and which are subject to written approval by BUYER, which approval shall not be unreasonably withheld, in an amount equivalent to ten percent (10%) of the Contract Price as defined in Article II, Paragraph 1, and in the form annexed as Exhibit "C-2", both of which are to be provided in order to partially assure refund to the BUYER of such sums as are contemplated in this Contract due to any event of BUILDER's default hereunder including warranties pursuant to Article X.