Common use of Service Contracts and Sublicenses Clause in Contracts

Service Contracts and Sublicenses. All service contracts, as deemed necessary by Port to maintain operation of the Concession Unit, entered into by Permittee with respect to its responsibilities shall: (a) be in the name of Permittee; (b) be assignable, at Port’s option, to Port or Port’s nominee; (c) include a provision for cancellation without payment of a fee or penalty by Port or Permittee upon not more than thirty (30) days written notice; and (d) shall require that all contractors provide evidence of sufficient insurance upon request. If this Permit is terminated, Permittee shall, at Port’s option, assign to Port or Port’s nominee all service contracts pertaining to the Concession Unit, and if Port exercises this option, Permittee shall have no obligation under such service contracts that arise after the date of such assignment. Permittee shall deal at arm’s length with all third parties, and Permittee shall serve the Port’s interests at all times.