Common use of Trust Operation Clause in Contracts

Trust Operation. By executing this agreement, Party A I and Party A II agree to serve as professional operators of Party B, and be responsible for completing the operational goals of Party B for the next 5 fiscal years, details as follow: The audited net income of Party B for fiscal 2010 should be no less than 5MM RMB; The audited net income of Party B for fiscal 2011 should be no less than 6MM RMB; The audited net income of Party B for fiscal 2012 should be no less than 7.2MM RMB; The audited net income of Party B for fiscal 2013 should be no less than 8.6MM RMB; The audited net income of Party B for fiscal 2014 should be no less than 10.3MM RMB; X: Force Majeure 1: Force majeure: Force majeure means conditions that are unforeseeable, unavoidable and unvanquishable. The force majeure may arise from natural reasons or human factors. The natural reasons can be earthquake, flooding, drought and sudden outbreak of the epidemics and the human factors can be war, government prohibition, strike and riots and so on. 2: Duty Exemption The party incurred force majeure accidents should present the accident reports and proven papers to another party in written form within 3 days of the occurrence of the accidents. If the contract can’t be fulfilled because of the force majeure, the contract can be terminated. If the contract can't be fulfilled temporarily, then it can be delayed to be fulfilled. Whenever the force majeure happens, if the party concerned exhausts its efforts to remedy but to no avail, it is free from any compensation duty.

Trust Operation. By executing this agreement, Party A I and Party A II agree to serve as professional operators of Party B, and be responsible for completing the operational goals of Party B for the next 5 fiscal years, details as follow: The audited net income of Party B for fiscal 2010 should be no less than 5MM 7.2MM RMB; The audited net income of Party B for fiscal 2011 should be no less than 6MM 8.6MM RMB; The audited net income of Party B for fiscal 2012 should be no less than 7.2MM 10.3MM RMB; The audited net income of Party B for fiscal 2013 should be no less than 8.6MM 12.1MM RMB; The audited net income of Party B for fiscal 2014 should be no less than 10.3MM 14.4MM RMB; X: Force Majeure 1: Force majeure: Force majeure means conditions that are unforeseeable, unavoidable and unvanquishable. The force majeure may arise from natural reasons or human factors. The natural reasons can be earthquake, flooding, drought and sudden outbreak of the epidemics and the human factors can be war, government prohibition, strike and riots and so on. 2: Duty Exemption The party incurred force majeure accidents should present the accident reports and proven papers to another party in written form within 3 days of the occurrence of the accidents. If the contract can’t be fulfilled because of the force majeure, the contract can be terminated. If the contract can't be fulfilled temporarily, then it can be delayed to be fulfilled. Whenever the force majeure happens, if the party concerned exhausts its efforts to remedy but to no avail, it is free from any compensation duty.