Common use of Removal of Project Equipment Clause in Contracts

Removal of Project Equipment. Subject to the Mortgage, the Lessee may, if no Event of Default shall have occurred and be continuing, dispose of any item of the Project Equipment, in the normal course of its business operations, so long as such disposal shall not (i) substantially impair the operation of the Project as a "project" within the meaning of the Act, or (ii) materially diminish the value of the Project as it then exists, or, in the alternative, so long as the Lessee conveys to the Issuer, before or simultaneously with such removal, other equipment or other personal property not theretofore constituting part of the Project Equipment and having utility (but not necessarily the same value or function) in the operation of the Project equal to or greater than the utility of the item of Project Equipment so removed, it being understood that all such substituted equipment or other personal property shall be free of all liens and encumbrances (other than Permitted Encumbrances), shall be the sole property of the Issuer, shall be and become a part of the Project Equipment subject to the demise of the Lease and to the lien of the Mortgage and shall be held by the Lessee on the same terms and conditions as the items originally constituting the Project Equipment. Upon the removal by the Lessee of any item of the Project Equipment from the Project Site in compliance with the conditions of this Section 6.2, the Issuer will convey title to such item to the Lessee or its designee by xxxx of sale or other appropriate conveyance. The Lessee shall not, by reason of the removal of any items of the Project Equipment pursuant to this Section 6.2, or any substitutions made for any items of the Project Equipment so removed, be entitled to any diminution or abatement of the Basic Rent or any other rent payable by the Lessee hereunder.

Removal of Project Equipment. Subject to the Mortgage, the Lessee may, if no Event of Default The Company shall have occurred the privilege from time to time of substituting machinery, equipment and be continuing, dispose of related property for any item of the Project Equipment, in if any; provided that the normal course machinery and equipment so substituted shall be of its business operations, so long as such disposal shall a value not (i) substantially impair the operation of the Project as a "project" within the meaning of the Act, or (ii) materially diminish less than the value of the machinery or equipment replaced and shall not make the Project as it then exists, or, in unsuitable for the alternative, so long as the Lessee conveys to the Issuer, before or simultaneously with Project Purposes. Any such removal, other substitute machinery and equipment or other personal property not theretofore constituting shall become part of the Project Equipment for purposes of the Mortgage. The Company shall promptly notify the Director and having utility (but not necessarily the same Trustee of any substitutions of machinery or equipment, which notice shall include a description of the substituted machinery or equipment. The Company shall also have the privilege of removing any Project Equipment, without substitution therefor; provided, that the Company pays to the Director a sum equal to the then value or function) of said Project Equipment, as determined by an Independent Engineer selected by the Company, and so long as any of the Bonds remain outstanding, the Company shall pay such amounts directly to the Trustee for deposit in the operation Collateral Proceeds Account and shall deliver to the Director and the Trustee a certificate signed by said Independent Engineer setting forth the value of said Project Equipment and stating that the removal of such equipment will not make the Project equal to or greater than the utility of the item of Project Equipment so removed, it being understood that all such substituted equipment or other personal property shall be free of all liens and encumbrances (other than Permitted Encumbrances), shall be the sole property of the Issuer, shall be and become a part of unsuitable for the Project Equipment subject to Purposes. The Company may at any time while it is not in default under this Loan Agreement remove from the demise of Project any machinery or equipment purchased and installed by it at the Lease Project Site and to the lien of the Mortgage and shall be held by the Lessee on the same terms and conditions not included as the items originally constituting the Project Equipment. Upon In the event any such removal causes damage to existing buildings or structures, the Company shall restore the same or repair such damage at its sole expense. The Director agrees to execute and deliver such documents as the Company may properly request in connection with any action taken by the Lessee of any item of the Project Equipment Company in conformity with this Section 5.2. The removal from the Project Site in compliance with the conditions of this Section 6.2, the Issuer will convey title to such item to the Lessee or its designee by xxxx of sale or other appropriate conveyance. The Lessee shall not, by reason of the removal of any items portion of the Project Equipment pursuant to the provisions of this Section 6.2, shall not entitle the Company to any abatement or any substitutions made for any items diminution of the Project Equipment so removed, be entitled to any diminution amounts payable under Sections 4.2 or abatement of the Basic Rent or any other rent payable by the Lessee hereunder4.4 hereof.

Removal of Project Equipment. Subject The Company shall not be under any obligation to the Mortgagerenew, the Lessee mayrepair or replace any inadequate, if no Event of Default obsolete, worn out, unsuitable, undesirable or unnecessary Project Equipment. The Company shall have occurred the privilege from time to time of substituting machinery, equipment and be continuing, dispose of related property for any item of the Project Equipment, in ; provided that the normal course machinery and equipment so substituted shall be of its business operations, so long as such disposal shall a value not (i) substantially impair the operation of the Project as a "project" within the meaning of the Act, or (ii) materially diminish less than the value of the machinery or equipment replaced and shall not make the Project unsuitable for the Project Purposes. Any such substitute machinery and equipment shall become the property of the Director and be included under the terms of this Lease, and the replaced Project Equipment shall become the property of the Company. The Company shall promptly notify the Director and the Trustee of any substitutions of machinery or equipment, which notice shall include a description of the substituted machinery or equipment. The Company shall also have the privilege of removing any Project Equipment, without substitution therefor; provided, that the Company pays to the Director a sum equal to the then value of said Project Equipment, as it then existsdetermined by an Independent Engineer selected by the Company, or, in the alternative, and so long as any of the Lessee conveys Bonds remain outstanding, the Company shall pay such amounts directly to the Issuer, before or simultaneously with such removal, other equipment or other personal property not theretofore constituting part Trustee for deposit in the Collateral Proceeds Account and shall deliver to the Director and the Trustee a certificate signed by said Independent Engineer setting forth the value of the said Project Equipment and having utility (but stating that the removal of such equipment will not necessarily the same value or function) in the operation of make the Project equal to or greater than the utility of the item of Project Equipment so removed, it being understood that all such substituted equipment or other personal property shall be free of all liens and encumbrances (other than Permitted Encumbrances), shall be the sole property of the Issuer, shall be and become a part of unsuitable for the Project Equipment subject Purposes. The Company may at any time while it is not in default under this Lease remove from the Project any machinery or equipment purchased and installed by it pursuant to the demise Section 8.7 of the this Lease and to the lien of the Mortgage and shall be held by the Lessee on the same terms and conditions not included as the items originally constituting the Project Equipment. Upon In the event any removal of machinery or equipment under this Section or Section 8.7 causes damage to existing buildings or structures, the Company shall restore the same or repair such damage at its sole expense. Company shall so request. This provision shall not be construed to require cooperation by the Lessee of any item of the Project Equipment from the Project Site in compliance Director with the conditions of this Section 6.2, the Issuer will convey title to such item to the Lessee or its designee by xxxx of sale or other appropriate conveyance. The Lessee shall not, by reason of the removal of Company in any items of the Project Equipment pursuant to this Section 6.2, or any substitutions made for any items of the Project Equipment so removed, be entitled to any diminution or abatement of the Basic Rent or any other rent payable by the Lessee hereunderlabor dispute.

Removal of Project Equipment. Subject to In any instance where the Mortgage, the Lessee may, if no Event of Default shall have occurred and be continuing, dispose of Company in its sole discretion determines that any item of the Project EquipmentEquipment has become inadequate, obsolete, unsuitable, undesirable or unnecessary in the normal course of its business operations, so long as such disposal shall not (i) substantially impair the use and operation of the Project, the Company may remove such item of Project as a "project" within Equipment from the meaning Project and (on behalf of the ActCouncil) sell, trade in, exchange or (ii) materially diminish otherwise dispose of it without any responsibility or accountability to the value Council or the Trustee therefor. In any instance not described in the preceding sentence, the Company may so remove and dispose of items of Project Equipment, provided that the Company thereafter substitutes and installs in or about the Project as it then exists, or, in the alternative, so long as the Lessee conveys to the Issuer, before or simultaneously with such removal, Building other equipment or other personal property not theretofore constituting part of the Project Equipment and having equal or greater utility (but not necessarily the same value or function) in the operation of the Project equal to or greater than the utility of the item of Project Equipment so removedProject, it being understood that all which such substituted equipment or other personal property shall be free of all liens and encumbrances (other than Permitted Encumbrances), shall be the sole property of the IssuerCouncil, shall be and become a part of the Project Equipment subject to the demise of the Lease and to the lien of the Mortgage hereof and shall be held by the Lessee Company on the same terms and conditions as the items originally constituting the Project Equipment. Upon If as a result of the removal by the Lessee of any item of the Project Equipment from pursuant to the Project Site in compliance with provisions of the conditions first paragraph of this Section 6.2, the Issuer will convey title Company becomes obligated to such item substitute other equipment or other personal property for the Project Equipment so removed, it may, so long as it is not in default with respect to the Lessee payment of any installment of Basic Rent, defer the substitution of such other equipment or its designee other personal property for any reasonable period, taking into account (without limitation thereto) such causes for delay as strikes or labor disputes, disruption of operations at the Project due to the construction of improvements thereto, and delays in the delivery of purchased equipment or other personal property to be substituted for the Project Equipment so removed. Upon the substitution of any equipment or other personal property for any item of the Project Equipment removed pursuant to the provisions of the first paragraph of this Section 6.2, the Company will furnish the Council with a certificate signed by an Authorized Company Representative describing such equipment or other personal property and identifying the Project Equipment for which it is to be substituted. Anything herein contained to the contrary notwithstanding, the Company shall not be in default under this Lease Agreement because of any failure to substitute equipment or other personal property for any Project Equipment theretofore removed from the Project unless such failure shall have continued for at least ninety (90) days after the Council or the Trustee shall have given the Company written notice specifying the Project Equipment theretofore removed for which no substitution has been made and requesting the Company to make an appropriate substitution therefor. In any case where the Company does not then own any equipment or other personal property suitable for substitution for any of the Project Equipment removed from the Project pursuant to the provisions of the first paragraph of this Section 6.2, or in any case where the Company desires to purchase the equipment or other personal property to be substituted for any of the Project Equipment so removed, the Company may, in lieu of purchasing and installing such equipment or other personal property, advance to the Council the funds necessary therefor, whereupon the Council will purchase and install such equipment or other personal property. The Council will, by xxxx of sale or other appropriate conveyance, convey to the Company any item of the Project Equipment which, as a result of compliance with the provisions of this Section 6.2, the Company is entitled to have released from the demise of this Lease Agreement. The Lessee Company will reimburse the Council for its reasonable expenses and disbursements incurred in connection with such conveyance and the execution and delivery of such instrument. The preceding provisions of this section shall not, by reason apply only so long as any of the removal Indenture Indebtedness remains unpaid. After full payment of the Indenture Indebtedness and the cancellation and satisfaction of the Indenture in accordance with the provisions thereof, the Company may, if in its sole discretion it determines that any or all items of the Project Equipment pursuant to this Section 6.2have become unsuitable or unnecessary for its use and operation of the Project, or any substitutions made for any remove such items of the Project Equipment so removed, be entitled to any diminution or abatement from the Project Building and (on behalf of the Basic Rent Council) sell or otherwise dispose of such items, without any responsibility or accountability to the Council therefor and without being required to install in or around the Project Building equipment or other rent payable personal property in substitution therefor, and may retain any money or other consideration received by it upon any disposition of such items of Project Equipment. Nothing contained herein shall prohibit the Company, at any time during which no Event of Default shall have occurred and be continuing, from removing from the Project Building any equipment or other personal property that is owned by it or leased by it from third parties and that does not constitute part of the Project Equipment; provided, however, that if any such equipment or other personal property owned by the Lessee hereunderCompany or leased by it from third parties is removed from the Project Building prior to full payment of the Indenture Indebtedness, the Company will promptly repair at its own expense any damage to the Project caused by such removal.

Removal of Project Equipment. Subject The Company shall not be under any obligation to the Mortgagerenew, the Lessee mayrepair or replace any inadequate, if no Event of Default obsolete, worn out, unsuitable, undesirable or unnecessary Project Equipment. The Company shall have occurred the privilege from time to time of substituting machinery, equipment and be continuing, dispose of related property for any item of the Project Equipment, in ; provided that the normal course machinery and equipment so substituted shall be of its business operations, so long as such disposal shall a value not (i) substantially impair the operation of the Project as a "project" within the meaning of the Act, or (ii) materially diminish less than the value of the machinery or equipment replaced and shall not make the Project unsuitable for the Project Purposes. Any such substitute machinery and equipment shall become the property of the Director and be included under the terms of this Lease, and the replaced Project Equipment shall become the property of the Company. The Company shall promptly notify the Director and the Trustee of any substitutions of machinery or equipment, which notice shall include a description of the substituted machinery or equipment. The Company shall also have the privilege of removing any Project Equipment, without substitution therefor; provided, that the Company pays to the Director a sum equal to the then value of said Project Equipment, as it then existsdetermined by an Independent Engineer selected by the Company, or, in the alternative, and so long as any of the Lessee conveys Bonds remain outstanding, the Company shall pay such amounts directly to the Issuer, before or simultaneously with such removal, other equipment or other personal property not theretofore constituting part Trustee for deposit in the Collateral Proceeds Account and shall deliver to the Director and the Trustee a certificate signed by said Independent Engineer setting forth the value of the said Project Equipment and having utility (but stating that the removal of such equipment will not necessarily the same value or function) in the operation of make the Project equal to or greater than the utility of the item of Project Equipment so removed, it being understood that all such substituted equipment or other personal property shall be free of all liens and encumbrances (other than Permitted Encumbrances), shall be the sole property of the Issuer, shall be and become a part of unsuitable for the Project Equipment subject Purposes. The Company may at any time while it is not in default under this Lease remove from the Project any machinery or equipment purchased and installed by it pursuant to the demise Section 8.7 of the this Lease and to the lien of the Mortgage and shall be held by the Lessee on the same terms and conditions not included as the items originally constituting the Project Equipment. Upon In the event any removal of machinery or equipment under this Section or Section 8.7 causes damage to existing buildings or structures, the Company shall restore the same or repair such damage at its sole expense. The Director agrees to execute and deliver such documents as the Company may properly request in connection with any action taken by the Lessee of any item of the Project Equipment Company in conformity with this Section 5.2. The removal from the Project Site in compliance with the conditions of this Section 6.2, the Issuer will convey title to such item to the Lessee or its designee by xxxx of sale or other appropriate conveyance. The Lessee shall not, by reason of the removal of any items portion of the Project Equipment pursuant to the provisions of this Section 6.2, shall not entitle the Company to any abatement or any substitutions made for any items diminution of the Project Equipment so removed, be entitled to any diminution or abatement of the Basic Rent or any other rent rents payable by the Lessee hereunderunder Section 4.3 hereof.