Common use of Subcharters Clause in Contracts

Subcharters. Charterer may, without the consent of any party to ----------- the Participation Agreement, at any time and from time to time, subcharter the Vessel Interest to another Person (including, without limitation, to MSCL pursuant to the Initial Subcharter); provided that (i) such subcharter shall be -------- expressly subject and subordinate to this Charter Party (and such subcharter shall contain a provision providing that any subcharter permitted thereunder shall be so subject and subordinate) and shall in no event continue beyond the Charter Period, (ii) Charterer shall remain primarily liable under this Charter Party and all terms and conditions hereof and of the other Operative Documents shall be complied with as though no such subcharter was in existence, (iii) the Guaranty shall remain in full force and effect, (iv) such subcharter shall not result in any Tax on Owner or the Owner Participant that is not indemnified in accordance with the provisions of Section 13 of the Participation Agreement or of an indemnity agreement tendered by Charterer and reasonably satisfactory to the Owner and Owner Participant or subject Owner or the Owner Participant to regulation by any Governmental Authority to which Owner or the Owner Participant would not have been subject but for such subcharter, (v) no Specified Charter Event of Default shall be continuing at the commencement of such subcharter, (vi) Charterer shall give prompt written notice to Owner of any subcharter or sub-subcharter of the Vessel Interest, and (vii) any such subcharter with a term in excess of six (6) months shall be approved by Owner prior to its execution. Owner acknowledges that on the Closing Date Charterer will subcharter the Vessel Interest to MSCL pursuant to the Initial Subcharter. Any subcharterer under a subcharter permitted hereunder may sub-subcharter the Vessel Interest to another Person under a sub-subcharter that otherwise complies with the provisions hereunder applicable to a subcharter hereunder.

Subcharters. Charterer may, without the consent of any party to the ----------- the Participation Agreement, at any time and from time to time, subcharter the Vessel Interest to another Person (including, without limitation, to MSCL pursuant to the Initial Subcharter); provided that (i) such subcharter shall be -------- expressly subject and subordinate to this Charter Party (and such subcharter shall contain a provision providing that any subcharter permitted thereunder shall be so subject and subordinate) and shall in no event continue beyond the Charter Period, (ii) Charterer shall remain primarily liable under this Charter Party and all terms and conditions hereof and of the other Operative Documents shall be complied with as though no such subcharter was in existence, (iii) the Guaranty shall remain in full force and effect, (iv) such subcharter shall not result in any Tax on Owner or the Owner Participant that is not indemnified in accordance with the provisions of Section 13 of the Participation Agreement or of an indemnity agreement tendered by Charterer and reasonably satisfactory to the Owner and Owner Participant or subject Owner or the Owner Participant to regulation by any Governmental Authority to which Owner or the Owner Participant would not have been subject but for such subcharter, (v) no Specified Charter Event of Default shall be continuing at the commencement of such subcharter, (vi) Charterer shall give prompt written notice to Owner of any subcharter or sub-subcharter of the Vessel Interest, and (vii) any such subcharter with a term in excess of six (6) months shall be approved by Owner prior to its executionexecution and (viii) any such subcharter complies with the provisions of Clause 17 of the Head Lease. Owner acknowledges that on the Closing Date Charterer will subcharter the Vessel Interest to MSCL pursuant to the Initial Subcharter. Any subcharterer under a subcharter permitted hereunder may sub-subcharter the Vessel Interest to another Person under a sub-subcharter that otherwise complies with the provisions hereunder applicable to a subcharter hereunder.

Subcharters. Charterer may, without the consent of any party to ----------- the Participation Agreement, at any time and from time to time, subcharter the Vessel Interest to another Person (including, without limitation, to MSCL pursuant to the Initial Subcharter); provided that (i) such subcharter shall be -------- expressly subject and subordinate to this Charter Party (and such subcharter shall contain a provision providing that any subcharter permitted thereunder shall be so subject and subordinate) and shall in no event continue beyond the Charter Period, (ii) Charterer shall remain primarily liable under this Charter Party and all terms and conditions hereof and of the other Operative Documents shall be complied with as though no such subcharter was in existence, (iii) the Guaranty shall remain in full force and effect, (iv) such subcharter shall not result in any Tax on Owner or the Owner Participant that is not indemnified in accordance with the provisions of Section 13 of the Participation Agreement or of an indemnity agreement tendered by Charterer and reasonably satisfactory to the Owner and Owner Participant or subject Owner or the Owner Participant to regulation by any Governmental Authority to which Owner or the Owner Participant would not have been subject but for such subcharter, (v) no Specified Charter Event of Default shall be continuing at the commencement of such subcharter, (vi) Charterer shall give prompt written notice to Owner of any subcharter or sub-subcharter of the Vessel Interest, and (vii) any such subcharter with a term in excess of six (6) months shall be approved by Owner prior to its executionexecution and (viii) any such subcharter complies with the provisions of Clause 17 of the Head Lease. Owner acknowledges that on the Closing Date Charterer will subcharter the Vessel Interest to MSCL pursuant to the Initial Subcharter. Any subcharterer under a subcharter permitted hereunder may sub-subcharter the Vessel Interest to another Person under a sub-subcharter that otherwise complies with the provisions hereunder applicable to a subcharter hereunder.