Common use of Security for Charges* Clause in Contracts

Security for Charges*. (a) Subject to clause 9(b), if Western Power* determines at any time during the Term* that either or both of the User*'s or the Indemnifier*'s technical or financial resources are such that a Reasonable and Prudent Person* would consider there to be a material risk that the User* will be unable to meet its obligations under this Contract*, then Western Power* may require the User* to nominate which of the User* or the Indemnifier (“Nominated Person*”) is to provide the following security, and then require the Nominated Person*, at the User*'s election to:

Security for Charges*. (a) Subject to clause 9(b), if Western Power* determines at any time during the Term* that either or both of the User*'s User*ʹs or the Indemnifier*'s Indemnifier*ʹs technical or financial resources are such that a Reasonable and Prudent Person* would consider there to be a material risk that the User* will be unable to meet its obligations under this Contract*, then Western Power* may require the User* to nominate which of the User* or the Indemnifier (“Nominated Person*”) is to provide the following security, and then require the Nominated Person*, at the User*'s User*ʹs election to: