Common use of Reimbursement if Improper Exercise of Rights Clause in Contracts

Reimbursement if Improper Exercise of Rights. (a) If Owner exercises its rights pursuant to this Article 19, but Owner was not entitled to do so, Owner shall reimburse Project Co for the reasonable costs and expenses directly incurred by Project Co over and above those that would otherwise have been incurred by Project Co in the proper performance of its obligations under this Project Agreement and that are directly and reasonably incurred by Project Co in complying with those written requirements of Owner issued as a result of Owner having exercised such rights. (b) Project Co acknowledges and agrees that Project Co has no right to require a determination of whether or not Owner is entitled to exercise its rights pursuant to this Article 19 before taking any such action that Owner may require and Project Co shall comply with all of Owner’s requirements. Only concurrently with or after complying with Owner’s requirements shall Project Co be entitled to refer any Dispute for resolution in accordance with Schedule 14 – Dispute Resolution Procedure.

Appears in 7 contracts

Samples: Project Agreement, Project Agreement, Project Agreement

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Reimbursement if Improper Exercise of Rights. (a) If Owner exercises its rights pursuant to this Article 19, but Owner was not entitled to do so, Owner shall reimburse Project Co for the reasonable costs and expenses directly incurred by Project Co over and above those that would otherwise have been incurred by Project Co in the proper performance of its obligations under this Project Agreement and that are directly and reasonably incurred by Project Co in complying with those written requirements of Owner issued as a result of Owner having exercised such rights. (b) Project Co acknowledges and agrees that Project Co has no right to require a determination of whether or not Owner is entitled to exercise its rights pursuant to this Article 19 before taking any such action that Owner may require and Project Co shall comply with all of Owner’s Owner‟s requirements. Only concurrently with or after complying with Owner’s Owner‟s requirements shall Project Co be entitled to refer any Dispute for resolution in accordance with Schedule 14 – Dispute Resolution Procedure.

Appears in 1 contract

Samples: Project Agreement

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