Common use of Right to Rescind for Excessive Delay Clause in Contracts

Right to Rescind for Excessive Delay. If the total accumulated time of all permissible and non-permissible delays, excluding delays due to (i) arbitration under Article XIV, (ii) the BUYER’s defaults under Article XI, (iii) modifications and changes under Article V or (iv) delays or defects in the BUYER’s supplies as stipulated in Article XII, aggregates two hundred and forty (240) days or more, then, the BUYER may, at any time thereafter, rescind this CONTRACT by giving a written notice of rescission to the BUILDER. Such rescission shall be effective as of the date the notice thereof is received by the BUILDER. If the BUYER has not served the notice of rescission as provided in the above or Article III.1. hereof, the BUILDER may, at any time after expiration of the accumulated time of the delay in delivery, either two hundred and forty (240) days in case of the delay in this Paragraph or two hundred and ten (210) days in case of the delay in Article III.1, notify the BUYER of the future date upon which the BUILDER estimates the VESSEL will be ready for delivery and demand in writing or by facsimile that the BUYER make an election either to rescind this CONTRACT or to consent to the delivery of the VESSEL at such future date, in which case the BUYER shall, within fourteen(14) days after receipt of such demand, make and notify the BUILDER of such election. If the BUYER elects to consent to the delivery of the VESSEL at such future date (or other future date as the parties may agree): (a) Such future date shall become the contractual delivery date for the purposes of this CONTRACT and shall be subject to extension by reason of permissible delays as herein provided, and (b) If the VESSEL is not delivered by such revised contractual delivery date (as extended by reason of permissible delays), the BUYER shall have the same right of rescission upon the same terms as provided in the above and Article III. 1. If the BUYER shall not make an election within fourteen(14) days as provided hereinabove, the BUYER shall be deemed to have accepted such extension of the DELIVERY DATE to the future delivery date indicated by the BUILDER.

Right to Rescind for Excessive Delay. If the total accumulated time of all permissible and non-permissible delaysdelays on account of causes specified in Paragraph 1 of this Article, excluding delays due of a nature which under the terms of this Contract permit postponement of the Delivery Date, amounts to One Hundred and Fifty (i) arbitration under Article XIV, (ii) the BUYER’s defaults under Article XI, (iii) modifications and changes under Article V or (iv) delays or defects in the BUYER’s supplies as stipulated in Article XII, aggregates two hundred and forty (240150) days or more, then, in such event, the BUYER may, at any time thereafter, may rescind this CONTRACT by giving a written notice Contract in accordance with the provisions of rescission to the BUILDER. Such rescission shall be effective as of the date the notice thereof is received by the BUILDERArticle X hereof. If the BUYER has not served the notice of rescission as provided in the above or Article III.1. hereof, the BUILDER may, at any time after expiration total accumulated amount of the accumulated time delays being the aggregate of all permissible delays, specified in Paragraph 1 of this Article, and non-permissible delays excluding delays of a nature which under the terms of this Contract permit postponement of the delay in deliveryDelivery Date, either two hundred and forty (240) days in case of the delay in this Paragraph or amounts to two hundred and ten (210) days or more, then, in case such event the BUYER may rescind this Contract in accordance with the provisions of Article X hereof. The BUILDER may, at any time after the accumulated time of the delay in Article III.1aforementioned delays justifying rescission by the BUYER, notify the BUYER of the future date upon which the BUILDER estimates the VESSEL will be ready for delivery and demand in writing or by facsimile that the BUYER shall make an election either to rescind this CONTRACT or to consent to the delivery of the VESSEL at such future dateelection, in which case the BUYER shall, within fourteen(14fourteen (14) days after receipt of such demanddemand is received by the BUYER, make and either notify the BUILDER of such election. If the BUYER elects its intention to rescind this Contract, or consent to the delivery a postponement of the VESSEL at such Delivery Date to a specific future date (or other future date as date; it being understood and agreed by the parties may agree): (a) Such future date shall become the contractual delivery date for the purposes hereto that, if any further delay occurs on account of causes justifying rescission as specified in this CONTRACT and shall be subject to extension by reason of permissible delays as herein provided, and (b) If the VESSEL is not delivered by such revised contractual delivery date (as extended by reason of permissible delays)Article, the BUYER shall have the same right of rescission upon the same terms as provided in the above and Article III. 1hereinabove provided. If the BUYER shall not make an election fails to notify the BUILDER of its rescission of this Contract as specified above within fourteen(14such fourteen (14) days as provided hereinaboveperiod, the BUYER shall be deemed to have accepted such extension consented to the delivery of the DELIVERY DATE to VESSEL at the future date for delivery date indicated proposed by the BUILDER.

Right to Rescind for Excessive Delay. (a) If the total accumulated time of all permissible and non-permissible delaysdelays claimed by the BUILDER on account of the causes specified in Paragraph 1 of this Article, excluding other delays due of the nature which under the terms of this Contract permit postponement of the Delivery Date, amounts to One Hundred Eighty (i) arbitration under Article XIV, (ii) the BUYER’s defaults under Article XI, (iii) modifications and changes under Article V or (iv) delays or defects in the BUYER’s supplies as stipulated in Article XII, aggregates two hundred and forty (240180) days or more, then, in such event, the BUYER may, at any time thereafter, OWNER may rescind this CONTRACT by giving a written notice Contract in accordance with the provisions of rescission to the BUILDERArticle X hereof. Such rescission shall be effective as of the date the notice thereof is received by the BUILDER. If the BUYER has not served the notice of rescission as provided in the above or Article III.1. hereof, the The BUILDER may, at any time after expiration of the accumulated time of the delay in deliveryaforementioned delays justifying rescission by the OWNER, either two hundred and forty (240) days in case of the delay in this Paragraph or two hundred and ten (210) days in case of the delay in Article III.1, notify the BUYER of the future date upon which the BUILDER estimates the VESSEL will be ready for delivery and demand in writing or by facsimile that the BUYER OWNER shall make an election either to rescind this CONTRACT or to consent to the delivery of the VESSEL at such future dateelection, in which case the BUYER OWNER shall, within fourteen(14fourteen (14) working days after receipt of such demand, make and demand is received by the OWNER either notify the BUILDER of such election. If the BUYER elects its intention to rescind this Contract, or consent to the delivery a postponement of the Delivery Date to a specified future date, which date BUILDER represents to OWNER is the earliest date BUILDER can deliver the VESSEL at such future date (or other future date as to OWNER, based on the circumstances then known, it being understood by the parties may agree): (a) Such future date shall become the contractual delivery date for the purposes of this CONTRACT and shall be subject to extension by reason of permissible delays as herein provided, and (b) If hereto that if the VESSEL is not delivered by such revised contractual delivery date (as extended by reason of permissible delays)future date, the BUYER OWNER shall have the same right of rescission upon the same terms and conditions as provided hereinabove provided. (b) If at any time during the term of this Contract, BUILDER falls more than 270 days behind in the above construction of the VESSEL according to the Delivery and Article III. 1. If the BUYER Construction Schedule, for any reason whatsoever, and whether as a result of permissible delay or otherwise, OWNER shall be entitled to give written notice to BUILDER that OWNER considers BUILDER in material default of its obligations under this Contract, and if BUILDER has not make an election cured such default within fourteen(14Thirty (30) days as provided hereinaboveafter receipt of such notice, OWNER shall have the BUYER shall be deemed right to have accepted such extension rescind this Contract in accordance with the provisions of the DELIVERY DATE to the future delivery date indicated by the BUILDER.Article X hereof. (End of Article)

Right to Rescind for Excessive Delay. If the total accumulated time of all permissible delays on account of the cause(s) specified in the Paragraph 1 of this Article and non-permissible delaysthe causes specified in Article III, excluding delays due to of a nature which under the terms and conditions of this Contract permit postponement of the Delivery Date: (i) delays due to the arbitration under as provided for in the Article XIVXIII hereof, (ii) delays due to defaults in performance by the BUYER’s defaults under Buyer as provided for in the Article XIXI hereof, (iii) delays due to modifications and changes under as provided for in the Article V or hereof, (iv) delays or defects in delivery of the Buyer’s Supplies as provided for in the BUYER’s supplies as stipulated in Article XIIXVII hereof, aggregates two amounts to one hundred and forty fifty (240150 ) days or more, then, in such event, the BUYER may, at any time thereafter, Buyer may rescind this CONTRACT by giving a written notice of rescission to Contract in accordance with the BUILDER. Such rescission shall be effective as provision of the date the notice thereof is received by the BUILDERArticle X hereof. If the BUYER has not served the notice of rescission as provided in the above or Article III.1. hereof, the BUILDER The Seller may, at any time after expiration of the accumulated time of the delay in deliveryaforementioned delays justifying rescission by the Buyer, either two hundred and forty (240) days in case of the delay in this Paragraph or two hundred and ten (210) days in case of the delay in Article III.1, notify the BUYER of the future date upon which the BUILDER estimates the VESSEL will be ready for delivery and demand ask in writing by email or by facsimile that the BUYER make an election either to rescind this CONTRACT or to consent to the delivery Buyer whether it will elect rescission of this Contract or accept the VESSEL at such future datea new delivery date designated therein by the Seller, in which case the BUYER Buyer shall, within fourteen(14twenty (20) days after receipt of such demandinquiry is received by the Buyer, make and either notify the BUILDER Seller in writing by email or facsimile of such electionits intention to rescind this Contract or consent to a postponement of the Delivery Date to a specific future date; it being understood and agreed by the parties hereto that in the absence of any notice of rescission within the aforesaid twenty (20) days, the Buyer shall be deemed to have accepted new delivery date as designated by the Seller. If the BUYER elects to consent to the delivery of the VESSEL at any further delay occurs beyond such specific future date (or other future date as the parties may agree): (a) Such future date shall become the contractual delivery date for the purposes of this CONTRACT and shall be subject to extension by reason of permissible delays as herein provided, and (b) If the VESSEL is not delivered by such revised contractual delivery date (as extended by reason of permissible delays)date, the BUYER Buyer shall have the same right of rescission upon the same terms and conditions as provided in the above and Article III. 1. If the BUYER shall not make an election within fourteen(14) days as provided hereinabove, the BUYER shall be deemed to have accepted such extension of the DELIVERY DATE to the future delivery date indicated by the BUILDERhereinabove provided.