TRANSFERRED SHIPS Clause Samples
The 'Transferred Ships' clause defines the terms and conditions under which a ship that has been transferred from one owner to another is treated within the context of the contract. Typically, this clause outlines the obligations of both the transferor and transferee regarding the ship's status, documentation, and any ongoing liabilities or warranties. For example, it may specify whether the new owner inherits existing contractual obligations or if certain rights and responsibilities are extinguished upon transfer. The core function of this clause is to ensure clarity and continuity in contractual relationships when ownership of a vessel changes, thereby preventing disputes over liability and obligations after the transfer.
TRANSFERRED SHIPS. On each Disposal Reduction Date applicable to a Transferred Ship, the Commitments shall, subject to Clause 9.3(E), be reduced by the relevant Disposal Reduction Amount.
TRANSFERRED SHIPS. APPLICATION OF MONEYS RECEIVED The Borrowers shall procure that moneys payable by the purchasers of Transferred Ships on account of the deferred consideration for the purchase of the relevant Ships shall be paid to accounts in the name of the Security Agent established with itself. The amounts accumulated in such accounts shall be applied on each Disposal Reduction Date in payment to the Agent of the Disposal Reduction Amount in respect of the relevant Ship and, provided that no Event of Default has occurred and is continuing, the balance standing to the credit of the relevant accounts shall be released to the relevant seller immediately following such application. Moneys credited to the relevant accounts will bear interest at the normal rates paid by the Agent for accounts of the relevant type to first class customers.