The Pros and Cons of Provisions Regarding Adequate Assurance of Performance

Adequate assurance clauses are used in many different types of energy agreements. These clauses can vary in language and complexity. If you are providing credit, an adequate assurance clause can be a great tool; but, in other circumstances these kinds of clauses can cause great consternation. This session showcases the varying ways in which these clauses can be constructed. Polyansky discusses the pros and cons of utilizing such clauses in your agreements. She also explores this topic from the perspective of the Uniform Commercial Code as well as such clauses typical in master agreements (e.g., ISDA) and even general terms and conditions.