Common use of Removal of Components Clause in Contracts

Removal of Components. (a) In the ordinary course of repairing, maintaining, preserving or testing the Leased Facility or any component thereof, Lessee shall have the right to remove or cause to be removed any component of such Leased Facility; provided, however, that: (i) Lessee shall cause any such component to be replaced by a replacement component; (ii) Lessee shall cause such replacement component to be free and clear of all Liens (other than Permitted Encumbrances) and in as good an operating condition as that of the component replaced and with a residual value, utility and remaining useful life at least equal to that of the component replaced (in each case, assuming that the replaced component was maintained in accordance with the terms of this Facility Lease); (iii) the use of such replacement component as part of the Leased Facility shall not, other than in a de minimis respect, diminish the Fair Market Value, utility, remaining useful life or residual value of the Leased Facility; and (iv) all Improvements shall be paid for in accordance with Article 8. Each component (other than an Obsolete Component) removed from the Leased Facility will remain subject to this Facility Lease, wherever located, until such time as such component is replaced by a replacement component which has been incorporated in the Leased Facility and which meets the requirements for replacement components specified in this Section 7.3(a). Lessee shall take all actions reasonably requested by Lessor to cause such removed component to remain subject to this Facility Lease.

Appears in 3 contracts

Samples: Facility Lease Agreement (Madison Gas & Electric Co), Facility Lease Agreement (Madison Gas & Electric Co), Facility Lease Agreement (Mge Energy Inc)

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Removal of Components. (a) In the ordinary course of repairing, maintaining, preserving or testing the Leased Facility or any component thereof, Lessee shall have the right to remove or cause to be removed any component of such Leased Facility; provided, however, that: (i) Lessee shall cause any such component to be replaced by a replacement component; (ii) Lessee shall cause such replacement component to be free and clear of all Liens (other than Permitted Encumbrances) and in as good an operating condition as that of the component replaced and with a residual value, utility and remaining useful life at least equal to that of the component replaced (in each case, assuming that the replaced component was maintained in accordance with the terms of this Facility Lease); and (iii) the use of such replacement component as part of the Leased Facility shall not, other than in a de minimis respect, diminish the Fair Market Value, utility, remaining useful life or residual value of the Leased Facility; and (iv) all Improvements shall be paid for in accordance with Article 8. Each component (other than an Obsolete Component) removed from the Leased Facility will remain subject to this Facility Lease, wherever located, until such time as such component is replaced by a replacement component which has been incorporated in the Leased Facility and which meets the requirements for replacement components specified in this Section 7.3(a9.3(a). Lessee shall take all actions reasonably requested by Lessor to cause such removed component to remain subject to this Facility Lease.

Appears in 2 contracts

Samples: Facility Lease Agreement (Wisconsin Electric Power Co), Washington I Facility Lease Agreement (Wisconsin Electric Power Co)

Removal of Components. (a) In the ordinary course of repairing, maintaining, preserving or testing the Leased Unit 1 Facility or any component thereof, Lessee shall have the right to remove or cause to be removed any component of such Leased Unit 1 Facility; provided, however, that: (i) Lessee shall cause any such component to be replaced by a replacement component; (ii) Lessee shall cause such replacement component to be free and clear of all Liens (other than Permitted Encumbrances) and in as good an operating condition as that of the component replaced and with a residual value, utility and remaining useful life at least equal to that of the component replaced (in each case, assuming that the replaced component was maintained in accordance with the terms of this Facility Lease); and (iii) the use of such replacement component as part of the Leased Unit 1 Facility shall not, other than in a de minimis respect, diminish the Fair Market Value, utility, remaining useful life or residual value of the Leased Unit 1 Facility; and (iv) all Improvements shall be paid for in accordance with Article 8. Each component (other than an Obsolete Component) removed from the Leased Unit 1 Facility will remain subject to this Facility Lease, wherever located, until such time as such component is replaced by a replacement component which has been incorporated in the Leased Unit 1 Facility and which meets the requirements for replacement components specified in this Section 7.3(a9.3(a). Lessee shall take all actions reasonably requested by Lessor to cause such removed component to remain subject to this Facility Lease.

Appears in 1 contract

Samples: Assignment and Assumption Agreement (Wisconsin Energy Corp)

Removal of Components. (a) In the ordinary course of repairing, maintaining, preserving servicing, repairing or testing the Leased Facility Property, or any component thereof, Lessee shall have the right right, at its own cost and expense, to remove or cause to be removed any component of such Leased Facilitythe Property; provided, however, that: that (i) Lessee shall cause any such component to be replaced by a replacement component; , (ii) Lessee shall cause such replacement component to be free and clear of all Liens (other than Permitted EncumbrancesLiens) and in as good an operating condition as that of the component replaced and with a residual value, utility and remaining useful life at least equal to that of the component replaced (in each case, assuming that the replaced component was maintained in accordance with the terms of this Facility Lease); , and (iii) the use of such replacement component as part of the Leased Facility Property shall not, other than in a de minimis respect, diminish the Fair Market Value, utility, utility or remaining useful life or residual value of the Leased FacilityFacility or Energy Assets (in each case taken as a whole); and (iv) all Improvements provided, further, that Lessee shall not be paid for required to replace a particular component in accordance with Article 8this Section 7.3 if such component is obsolete and its removal without replacement could not reasonably be expected to diminish, other than in a de minimis respect, the utility or remaining useful life of the Facility or the Energy Assets, in each case taken as a whole ("Obsolete Component") or otherwise have a material adverse effect on the operations of the Facility or the Energy Assets (as appropriate). Each component (other than an Obsolete Component) at any time removed from the Leased Facility will Property shall remain subject to this Facility Lease, wherever located, until such time as such component is shall be replaced by a replacement component which has been incorporated in the Leased Facility Property and which meets the requirements for replacement components specified in this Section 7.3(a). above, and Lessee shall take all actions actions, including the filing of financing statements, as reasonably requested by Lessor as a precaution to cause such removed component to remain subject to this Facility Lease.

Appears in 1 contract

Samples: Lease Agreement (Weirton Steel Corp)

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Removal of Components. (a) In the ordinary course of repairing, maintaining, preserving or testing the Leased Unit 2 Facility or any component thereof, Lessee shall have the right to remove or cause to be removed any component of such Leased Unit 2 Facility; provided, however, that: (i) Lessee shall cause any such component to be replaced by a replacement component; (ii) Lessee shall cause such replacement component to be free and clear of all Liens (other than Permitted Encumbrances) and in as good an operating condition as that of the component replaced and with a residual value, utility and remaining useful life at least equal to that of the component replaced (in each case, assuming that the replaced component was maintained in accordance with the terms of this Facility Lease); and (iii) the use of such replacement component as part of the Leased Unit 2 Facility shall not, other than in a de minimis respect, diminish the Fair Market Value, utility, remaining useful life or residual value of the Leased Unit 2 Facility; and (iv) all Improvements shall be paid for in accordance with Article 8. Each component (other than an Obsolete Component) removed from the Leased Unit 2 Facility will remain subject to this Facility Lease, wherever located, until such time as such component is replaced by a replacement component which has been incorporated in the Leased Unit 2 Facility and which meets the requirements for replacement components specified in this Section 7.3(a9.3(a). Lessee shall take all actions reasonably requested by Lessor to cause such removed component to remain subject to this Facility Lease.

Appears in 1 contract

Samples: Assignment and Assumption Agreement (Wisconsin Energy Corp)

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