Avis 2006 Annual Report Download - page 276

24. [RESERVED]
25. [RESERVED]
26. FINANCE LEASE GUARANTY .
26.1. Finance Lease Guaranty .
In order to induce the Lessor to execute and deliver this Agreement and to lease Vehicles to the Lessees, and in consideration
thereof, the Finance Lease Guarantor hereby (i) unconditionally and irrevocably guarantees to the Lessor the obligations of each of ARAC and
BRAC, as Lessees (the “Guaranteed Lessees”), to make any payments required to be made by them under this Agreement, (ii) agrees to cause
the Guaranteed Lessees to duly and punctually perform and observe all of the terms, conditions, covenants, agreements and indemnities of the
Guaranteed Lessees under this Agreement, and (iii) agrees that, if for any reason whatsoever, any Guaranteed Lessee fails to so perform and
observe such terms, conditions, covenants, agreements and indemnities, the Finance Lease Guarantor will duly and punctually perform and
observe the same (the obligations referred to in clauses (i) through (iii) above are collectively referred to as the “ Guaranteed Obligations ”).
The liabilities and obligations of the Finance Lease Guarantor under the guaranty contained in this Section 26 (this “ Finance Lease Guaranty ”
)
will be absolute and unconditional under all circumstances. This Finance Lease Guaranty shall be a guaranty of payment and performance and
not merely of collection, and the Finance Lease Guarantor hereby agrees that it shall not be required that the Lessor, the Lender or the Trustee
assert or enforce any rights against any Guaranteed Lessee or any other person before or as a condition to the obligations of the Finance Lease
Guarantor pursuant to this Finance Lease Guaranty.
26.2. Scope of Finance Lease Guarantor’s Liability .
The Finance Lease Guarantor’s obligations hereunder are independent of the obligations of the Guaranteed Lessees, any other
guarantor or any other Person, and the Lessor may enforce any of its rights hereunder independently of any other right or remedy that the
Lessor may at any time hold with respect to this Agreement or any security or other guaranty therefor. Without limiting the generality of the
foregoing, the Lessor may bring a separate action against the Finance Lease Guarantor without first proceeding against a Guaranteed Lessee,
any other guarantor or any other Person, or any security held by the Lessor, and regardless of whether such Guaranteed Lessee or any other
guarantor or any other Person is joined in any such action. The Finance Lease Guarantor’s liability hereunder shall at all times remain effective
with respect to the aggregate of the full amounts due from each such Guaranteed Lessee hereunder, notwithstanding any limitations on the
liability of any such Guaranteed Lessee to the Lessor contained in any of the Related Documents or elsewhere. The Lessor’s rights hereunder
shall not be exhausted by any action taken by the Lessor until all Guaranteed Obligations have been fully paid and performed. The liability of
the Finance Lease Guarantor hereunder shall be reinstated and revived, and the rights of the Lessor shall continue, with respect to any amount
at any time paid on account of the Guaranteed Obligations which shall thereafter be required to be restored or returned by the Lessor upon the
bankruptcy, insolvency or reorganization of any Guaranteed Lessee, any other guarantor or any other Person, or otherwise, all as though such
amount had not been paid.
-
34
-