Term; Early Termination Fee Sample Clauses
The 'Term; Early Termination Fee' clause defines the duration of the agreement and establishes a fee that must be paid if one party ends the contract before the agreed-upon term expires. Typically, this clause specifies the start and end dates of the contract and outlines the circumstances under which early termination is permitted, as well as the calculation or amount of the fee owed for such termination. Its core practical function is to provide certainty regarding the contract's duration and to compensate the non-terminating party for losses or inconveniences resulting from an early exit, thereby discouraging premature termination and allocating risk between the parties.
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Term; Early Termination Fee. (a) This Agreement shall become effective on the Effective Date and shall continue in full force and effect until that date which is the third anniversary of the Effective Date (the "'Term”) unless sooner terminated as herein provided. Borrowers may terminate this Agreement at any time upon not less than ten (10) days’ prior written notice to Lender, upon payment in lull of the Obligations.
(b) In the event Commitments are terminated, for any reason, prior to the last day of the Term in connection with any such early termination (the date of such prepayment hereinafter referred to as the "Early Termination Date”), Borrowers shall pay to Lender an early temiination fee (the "Early Termination Fee”), for the loss of its bargain (and not as a penalty) in an amount equal to the product of: (i) the greater of (A) the aggregate amount of Commitments being made to Borrowers on the Closing Date or (B) the aggregate amount of Commitments being made to Borrowers on the Early Termination Date, times (ii) either (A) three percent (3.0%), if the Early Temiination Date occurs on or after the Closing Date to and including the date immediately preceding the first anniversary of the Closing Date, unless such termination occurs contemporaneously with the sale of the stock or assets of ADGE in which event, the Early Temiination Fee shall be one percent (1.00%), (B) two percent (2.0%), if the Early Termination Date occurs on -68-
Term; Early Termination Fee. The term of the Sub- Merchant Agreement will run concurrently with the term described in your Services Agreement. If you terminate the Sub-Merchant Agreement prior to the expiration of a fixed term (whether during the initial term or any renewal term, as applicable), we reserve the right to charge you an early terminate fee equal to our average fees related to Payment Services over a trailing six-month period, multiplied by any remaining months in the Term. Any partial months will be prorated. If a term is not defined, then your Sub- Merchant Agreement will automatically renew on a month-to- month basis, and you shall have a right to cancel at any time, penalty-free, with a 60-day advance written notice.
Term; Early Termination Fee. This Agreement, which shall inure to the benefit of and shall be binding upon, the respective successors and permitted assigns of each Loan Party, Agent and Lenders, shall become effective on the Closing Date and shall continue in full force and effect until that date which is the fourth (4th) anniversary of the Closing Date (the “Term”) unless sooner terminated as herein provided. Borrower may terminate this Agreement at any time upon ninety (90) days’ prior written notice upon payment in full of the Obligations. In the event the Obligations are prepaid in full prior to the last day of the Term (the date of such prepayment hereinafter referred to as the “Early Termination Date”), Borrower shall pay to Agent, for the ratable benefit of the Lenders, an early termination fee (the “Early Termination Fee”), for the loss of its bargain (and not as a penalty) in an amount equal to (i) one percent (1%) of the Maximum Revolving Amount, if the Early Termination Date occurs during the first Loan Year, (ii) three quarters of one percent (0.75%) of the Maximum Revolving Amount if the Early Termination Date occurs during the second Loan Year, (iii) one half of one percent (0.50%) of the Maximum Revolving Amount if the Early Termination Date occurs during the third Loan Year and (iv) zero percent (0%) if the early termination occurs during the fourth year of the but before the stated expiration of the Term.
Term; Early Termination Fee. This Agreement, which shall inure to the benefit of and shall be binding upon, the respective successors and permitted assigns of each Loan Party, Agent and Lenders, shall become effective on the Closing Date and shall continue in full force and effect until February 28, 2023 (the “Term”) unless sooner terminated as herein provided. Borrower may terminate this Agreement at any time upon ninety (90) days’ prior written notice upon payment in full of the Obligations. In the event the Obligations are prepaid in full prior to the last day of the Term (the date of such prepayment hereinafter referred to as the “Early Termination Date”), Borrower shall pay to Agent, for the ratable benefit of the Lenders, an early termination fee (the “Early Termination Fee”), for the loss of its bargain (and not as a penalty) in an amount equal to (i) two percent (2%) of the Maximum Revolving Amount, if the Early Termination Date occurs from the Amendment No. 3 Effective Date through the first anniversary of the Amendment No. 3 Effective Date, (ii) one percent (1%) of the Maximum Revolving Amount if the Early Termination Date occurs on the first anniversary of the Amendment No. 3 Effective Date through and including the second anniversary of the Amendment No. 3 Effective Date, and (iii) one half of one percent (0.50%) of the Maximum Revolving Amount if the Early Termination Date occurs on the second anniversary of the Amendment No. 3 Effective Date through and including the date which is six months after the second anniversary of the Amendment No. 3 Effective Date, it being agreed that in the remaining six months of the Term, no Early Termination Fee will apply.
Term; Early Termination Fee. The term of the Sub- Merchant Agreement will run concurrently with the term described in your Services Agreement, or, as applicable, the Master Vendor Agreement, or similar agreement, entered into with your Franchisor, if any. If you terminate the Sub-Merchant Agreement prior to the expiration of a fixed term (whether during the initial term or any renewal term, as applicable), we reserve the right to charge you an early terminate fee equal to our average fees related to Payment Services over a trailing six-month period, multiplied by any remaining months in the initial term or renewal term, as applicable. Any partial months will be prorated. If a term is not defined, then your Sub-Merchant Agreement will automatically renew on a month-to-month basis, and you shall have a right to cancel at any time, penalty-free, with a 60-day advance written notice.
Term; Early Termination Fee