Project Operating Agmt 02012011 - Laserfiche WebLink

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adversely affect the consummation of the transactions contemplated by this Operating Agreement or the financial conditions assets properties or operations of User ARTICLE V EVENTS OF DEFAULT AND REMEDIES Section 501 Events of Default Any one or more of the following events shall constitute an Event of Default hereunder a Failure by the User to punctually pay its User Payments when and as the same shall become due and payable b Failure by User to observe and perform any non monetary condition or agreement on its part to be observed or performed for a period of thirty 30 days after receipt of written notice specifying such failure and requesting that it be remedied has been given to User by the Authority or the Trustee provided however that if in the reasonable opinion of User the failure stated in the notice can be corrected but not within such thirty 30 day period such failure shall not constitute an Event of Default if User shall commence to cure such failure within such thirty 30 day period and thereafter diligently and in good faith cure such failure in a reasonable period of time c User shall file a petition seeking arrangement or reorganization under federal bankruptcy laws or any other applicable law of the United States of America or any state therein or if a court of competent jurisdiction shall approve a petition filed with the consent of a User seeking arrangement or reorganization under the federal bankruptcy laws or any other applicable law of the United States of America or any state therein or if under the provisions of any other law for the relief or aid of debtors any court of competent jurisdiction shall assume custody or control of such User or of the whole or any substantial part of its property l lowever such filing shall not constitute a default so long as User continues to pay its User Payments punctually Section 502 Remedies of the Authority Whenever any Event of Default occurs and is continuing it shall be lawful for the Authority to and the Authority shall at the written direction of any Bondholder exercise against the User any and all remedies available pursuant to law or granted pursuant to this Operating Agreement provided however that notwithstanding anything herein or in the Trust Agreement to the contrary there shall be no right under any circumstances to accelerate the User Payments or otherwise declare any User Payment not then in default to be immediately due and payable Each and every covenant hereof to be kept and performed by the User is expressly made a condition and upon the breach thereof the Authority may exercise any and all rights granted hereunder provided that no termination of this Operating Agreement shall be effected either by operation of law or acts of the parties hereto except only in the manner herein expressly provided Upon the occurrence and during the continuance of any Event of Default the Authority shall have and is granted each and every one of the following remedies subject in all respects to the limitations set forth in Section 504 18 Project Operating Agreement 11 17 10 City Attorney Group