Performance Security Bank Guarantee Sample Clauses
Performance Security Bank Guarantee. 1. The Contractor before signing the Contract shall submit to GOGC unconditional and irrevocable bank guarantee (in GEL) for the amount of 5% of the Contract value. Such bank guarantee shall remain valid for 13 (thirteen) months following the Completion Date. The bank issuing the guarantee shall have at minimum as granted by “B+” Fitch rating or other equivalent rating granted by other international rating agency. The beneficiary of the guarantee shall be GOGC.
2. A bank guarantee indicated in clause 36.1. of the contract envisages unconditional and irrevocable obligation of the bank to pay full amount to GOGC;
3. Payment of the bank guarantee does not exempt Contractor from the obligation to compensate GOGC for the damages incurred as a result of failure to perform Contract and not covered by the bank guarantee;
4. In the event the Contractor fails to finalize full volume of works prior to Completion Date, the Contractor within five calendar days after written instructions of GOGC is received, is obliged to extend the effective term of the bank guarantee by way of fulfilling the period indicated in clause 36.1;
5. In case of nonfulfillment or undue fulfillment of the obligations set forth by the present Contract, GOGC has the authority to fully use the performance security guarantee and request the sum of the given guarantee, notwithstanding whether present Contract is terminated or not.