Withdrawal Payments Clause Samples
The Withdrawal Payments clause defines the financial obligations that arise when a party chooses to withdraw from an agreement or contract. Typically, this clause outlines the specific payments or penalties that must be made upon withdrawal, such as a fixed fee, reimbursement of costs, or a percentage of outstanding obligations. By clearly specifying these terms, the clause ensures that both parties understand the financial consequences of withdrawal, thereby discouraging arbitrary exits and providing a fair mechanism for compensating the non-withdrawing party.
Withdrawal Payments. Upon receipt by the General Partner of a Partner’s notice of intention to make a withdrawal from the Partnership, the General Partner shall have the discretion to manage the Assets in a manner that would provide for cash being available to satisfy such Partner’s request for withdrawal. The General Partner may effect withdrawal payments (i) in cash, (ii) in kind, or (iii) in any combination of the foregoing; provided that the General Partner will use its commercially reasonable efforts to make any such settlement in cash unless otherwise requested by the Partner. Notwithstanding the foregoing, each of the Partners acknowledges that a substantial amount of withdrawals by one or more Partners could require the General Partner to liquidate positions in order to raise cash necessary to fund the withdrawals at a time when market conditions are adverse or when such liquidations are otherwise not in the best interests of non-withdrawing Partners.
Withdrawal Payments. (a) Payments to a Partner on any withdrawal may be made in cash or, in the sole discretion of the General Partner, in securities selected by the General Partner or in a combination of cash and securities selected by the General Partner. Securities or other instruments that are distributed to a Partner in connection with an in-kind distribution may be in the form of interests or shares of a special purpose vehicle (“SPV”) owned by the Fund, with the SPV holding assets contributed by the Fund, or a participation interest in a liquidating trust, series, entity or liquidating account. A withdrawing Partner will incur transaction costs in connection with the sale of securities and instruments distributed in-kind, and, in the case of interests or shares in an SPV, will bear a proportionate share of the operating and other expenses borne by such SPV. If a distribution is made in kind, immediately prior to such distribution, Biglari Capital will determine the fair value of the property distributed and the appreciation or depreciation of such property will be taken into account in calculating the Incentive Reallocation, if any.
(b) A Limited Partner whose Interests is terminated or reduced hereunder shall pay all expenses incurred by the Fund in connection with such withdrawal, including the cost of preparing and filing an amendment to the Fund's Certificate of Limited Partnership, if necessary, attorneys' fees, and accounting expenses.
Withdrawal Payments. The Contract Owner may make a full or partial withdrawal. The minimum withdrawal is $500 or, at the time of the first withdrawal in each contract year, the free withdrawal amount defined below, if less. At the time of a partial withdrawal, the amount remaining in the contract must be at least $5,000 or such lower amount as the Company may require. A minimum balance of $250 must remain in each subaccount or the Fixed Account. If the Contract Owner makes a full withdrawal, the contract must be returned to the Company. Unless otherwise specified by the Contract Owner, the withdrawal will be made first prorata from the subaccounts of the Separate Account up to the Variable Account Value, and then from the Fixed Account Within the Fixed Account partial withdrawals will be made from amounts most recently allocated, renewed or transferred. FREE WITHDRAWAL. Prior to the Annuity Date, Purchase Payment withdrawals up to the Free Withdrawal Amount will not be assessed a Contingent Deferred Sales Charge. In addition, withdrawals to pay investment management fees due from the Contract Owner to a Registered Investment Advisor will not be assessed a Contingent Deferred Sales Charge or be considered the first withdrawal of the contract year for purposes of determining the free withdrawal amount under this contract. FREE WITHDRAWAL AMOUNT. The free withdrawal amount each contract year is equal to 10% of the cumulative purchase payments as of the date of the request less any prior free withdrawals during that Contract year. CONTINGENT DEFERRED SALES CHARGE. The Contingent Deferred Sales Charge will be imposed upon withdrawals.
Withdrawal Payments. Upon settlement of all debits from and credits to the Applicants’ Applicant Deposits pursuant to the First Applicant Auction, ▇▇▇▇▇▇▇ shall direct the Neutral to return to each Applicant within two (2) business days the outstanding amount of its respective Applicant Deposit (each a “Withdrawal Payment” and collectively, the “Withdrawal Payments”) according to the wiring instructions listed on each Withdrawing Applicant’s Withdrawal Notice.
Withdrawal Payments. The Contract Owner may make a full or partial withdrawal. The minimum withdrawal is $500 or, at the time of the first withdrawal in each contract year, the Free Withdrawal Amount defined below, if less. At the time of a partial withdrawal, the amount remaining in the Contract must be at least equal to the Minimum Remaining Balance specified on Page 3. A minimum balance of $250 must remain in each Subaccount or Fixed Interest Option. If the Contract Owner makes a full withdrawal, this Contract will be terminated.