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05 Finance
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05 Finance
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Last modified
8/23/2012 9:27:47 AM
Creation date
12/12/2008 1:42:53 PM
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Template:
AGENDA
Item Number
05
AGENDA - Type
MISCELLANEOUS
Description
Electric power contract with CAPP
AGENDA - Date
12/15/2008
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7.6 Monthly Capacity Payments to be Unconditional. Except as provided herein, <br />including Section 6.3 hereof, the obligation of Member to make Monthly Capacity <br />Payments when due shall be absolute and unconditional. Notwithstanding any dispute <br />between Member and CAPP or any other Participating Member or person, the Member <br />shall make all Monthly Capacity Payments required hereunder when due and shall not <br />withhold any such payments pending final resolution of such dispute, nor shall Member <br />assert any right of set-off or counterclaim against its obligation to make such payments <br />required under this Contract. Member's obligation to make Monthly Capacity Payments <br />during the Term shall not be abated because of accident or unforeseen circumstances. <br />However, nothing herein shall be construed to release CAPP from the performance of its <br />obligations hereunder; if CAPP should fail to perform any such obligation, Member may <br />institute such legal action against CAPP as Member may deem necessary to compel the <br />performance of such obligation. <br />7.7 Member's Default on Capacity Prepayment and CAPP's Remedies. <br />(a) Events of Default. Each of the following occurrences or events for <br />the purpose of this Contract is hereby declared to be a Default: <br />(i) The failure to make payment of the Capacity Prepayment when <br />the same becomes due and payable; or <br />(ii) Default in the performance or observance of any other <br />covenant, agreement or obligation of the Member, the failure to perform <br />which adversely affects CAPP, including, but not limited to, its prospect <br />or ability to be repaid in accordance with this Contract, and the <br />continuation thereof for a period of 30 days after notice of such default is <br />given by CAPP or Trustee to the Member. <br />(b) Remedies for Default. <br />(i) Upon the happening of a Default, then and in every case, <br />CAPP or an authorized representative thereof, including, but not limited <br />to, the Trustee, may proceed against the Member, or any official, officer or <br />employee of the Member in their official capacity, for the purpose of <br />protecting and enforcing the rights of CAPP under this Contract, by <br />mandamus or other suit, action or special proceeding in equity or at law, in <br />any court of competent jurisdiction, for any relief permitted by law, <br />including the specific performance of any covenant or agreement <br />contained herein, or thereby to enjoin any act or thing that may be <br />unlawful or in violation of any right of CAPP hereunder or any <br />combination of such remedies. <br />(ii) It is provided that all such proceedings shall be instituted <br />and maintained for the benefit of CAPP and/or owners of the Bonds. <br />23 <br />m 000 f,r4`; <br />
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