Total Expropriation Sample Clauses
The Total Expropriation clause defines the rights and obligations of parties if a government action results in the complete seizure or nationalization of an asset or project. Typically, this clause outlines the procedures for determining compensation, the notification process, and the steps to be taken if expropriation occurs, such as the termination of contractual obligations or the distribution of insurance proceeds. Its core function is to allocate risk and provide a clear framework for handling the loss of assets due to government intervention, ensuring both parties understand their remedies and responsibilities in such an event.
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Total Expropriation. In the event that the building is expropriated in its entirety, the leasing agreement shall be rescinded by operation of law as of the date of the ordinance resulting in the transfer of property of "the building" to the expropriating entity. However, since enjoyment of "the building" may only be granted to the expropriating entity after payment to the LESSOR of the expropriation compensation, the LESSEE shall owe to the LESSOR, as of the date of the aforementioned ordinance and until actual payment of the expropriation compensation, at which time "the building" must be released without delay, an occupation compensation equivalent to the amount of the rental payments and rental surcharges owed for such period; such compensation shall be payable pursuant to the same terms and at the same times as the rental payments and rental surcharges. On the other hand, if the compensation paid to the LESSOR represents, after deduction of all fees and expenses incurred by reason of the expropriation and of all taxes that remain outstanding, in particular in terms of capital gains, an amount higher than the amount resulting from the update of the actuarial rate of 8% of the rental payments remaining outstanding until the end of the leasing agreement and readjusted as of the day of payment of the expropriation compensation pursuant to the terms set forth in Article 2 B above, the LESSOR shall immediately pay to the LESSEE the difference between these two amounts. Otherwise, the LESSEE shall be under obligation to immediately pay this difference to the LESSOR; it shall be specified that the security interest of the LESSOR in the furniture on the rented premises shall also guarantee payment of such difference in terms of payment of above compensation.
Total Expropriation. V-1 5.02
Total Expropriation. Compensation is payable for total expropriation (sec.5.01), subject to the exclusions (sec.4.03) and limitations (sec.5.04), if an act or series of acts satisfies all of the following requirements:
(a) the acts are attributable to a foreign governing authority which is in DE FACTO control of the part of the country in which the project is located;
(b) the acts are violations of international law (without regard to the availability of local remedies) or material breaches of local law;
(c) the acts directly deprive the Investor of fundamental rights in the insured investment (Rights are "fundamental" if without them the Investor is substantially deprived of the benefits of the investment.); and
(d) the violations of law are not remedied (sec.9.01.9) and the expropriatory effect continues for six months.
Total Expropriation. For total expropriation (sec.4.01), OPIC shall pay compensation in United States dollars in the amount of the book value of the insured investment, subject to adjustments (sec.5.03) and limitations (sec.5.04).
Total Expropriation. The lease shall be cancelled in full, starting from the date of execution of the order discussed above, without an indemnity being charged to the LESSOR to the benefit of the LESSEE. In this case, the LESSEE shall pay to the LESSOR an indemnity equal to the amount envisioned in TITLE III—"PARTICULAR CONDITIONS." The amounts paid to the LESSOR for the expropriation shall be credited, with deduction of the taxes that may be due by the LESSOR for receiving the expropriation indemnity, with proper agreement on the amount of the cancellation indemnity, any eventual surplus being paid by the LESSOR to the LESSEE.
Total Expropriation. If during the Term of this Lease, any Expropriation occurs which renders the Premises unsuitable for its Permitted Use, this Lease shall terminate on the date the governmental authority takes possession, all Rent shall be apportioned and paid up to the termination date, any Rent paid and attributable to the period after such termination date shall be refunded to Tenant, and the parties hereto shall have no further obligations hereunder; provided that Tenant will remain obligated to satisfy Sections 10.4 and 10.5 and the portion of the award received for that purpose will be used to reimburse Tenant’s costs for such removal. No termination of this Lease may be exercised by Tenant without the prior, written consent of any Leasehold Mortgagee.
Total Expropriation. The lease shall be cancelled by right as of the date of execution of the ordinance mentioned above, without any indemnity incumbent on the lessor and to the benefit of the lessee. The lessee in such a case shall have to pay an indemnity to the lessor equal to the amount provided for in Title II, “Special Conditions”. The amounts paid to the lessor in connection with the expropriation shall be applied, after deduction of the taxes that might be due from the lessor in connection with receipt of the expropriation indemnity, to the appropriate extent to the amount of the cancellation indemnity, the remainder, if any, being paid by the lessor to the lessee.
Total Expropriation. Subject to the exclusions (Section 4.03), adjustments (Section 5.04), and limitations (Section 5.05), compensation is payable for total expropriation (Section 5.01) if an act or series of acts satisfies all of the following requirements:
1. the acts are attributable to a Foreign Governing Authority which is in DE FACTO control of the part of the Project Country where the Project is located;
2. the acts are
(a) violations of international law (without regard to the availability of local remedies) or
(b) an abrogation, repudiation, or material breach of the Project Agreement; provided, however, that no compensation shall be payable for total expropriation or expropriation of funds (Section 4.02) for acts that are an abrogation, repudiation or material breach of Sections 4.1.16, 4.1.17, or the eighth paragraph of Section 4.1.20 of the Project Agreement unless such acts are a violation of international law;
3. the acts directly prevent
(a) the Investor from receiving timely payment in the currency specified of amounts owed to it by the Foreign Enterprise or from disposing of the Investment or any rights accruing therefrom; or
(b) the Foreign Enterprise from receiving timely payment in the currency specified of amounts owed to it in respect of the Project, except for acts which are the subject of Section 4.02.1 below; or
(c) either the Investor or the Foreign Enterprise from effectively exercising its fundamental rights or performing its duties as set forth in the Project Agreement or with respect to the Project; or
(d) the Foreign Enterprise from exercising effective control, to the extent provided in the Project Agreement, over a substantial portion of the Covered Property or from constructing or operating the Project; or
(e) the Foreign Enterprise from disposing of its interest in the Project Agreement in accordance with the terms of the Project Agreement; and
4. the violations of law or abrogation, repudiation or material breach of the Project Agreement are not remedied (Section 11.01.14) and the expropriatory effect continues without interruption for six months.
Total Expropriation. For total expropriation (section 4.01), OPIC shall pay compensation in United States dollars in the amount of the book value of the insured investment, subject to adjustments (section 5.03) and limitations (section 5.04). Compensation is computed as of the date the expropriatory effect commences (section 4.01(c)) and is based on financial statements maintained in accordance with section 9.01.6 for the foreign enterprise. However, OPIC may
(1) conform the financial statements to principles of accounting generally accepted in the United States; and
(2) make adjustments (section 5.03). OPIC shall be bound by the Investor's choice among generally accepted accounting principles, if the choice is consistent with the Investor's own accounting, unless such choice results in a substantial overstatement of the fair market value of the insured investment or the foreign enterprise as an independent entity.