Irrevocable Letter Of Credit (Page 2 of 4) in pdf

The payment of fringe benefits guaranteed herein shall be made to the

Operating Engineers Local 825 within thirty (30) days after Operating

Engineers Local 825 Funds notifies <BANK> of any delinquency by

<EMPLOYER> in the payment of fringe benefits to its employees who

are performing covered employment as articulated by the CBA.

Notice required herein shall be made in writing and served upon

<BANK>’s offices located at <BANK’S ADDRESS>, by certified mail

accompanied by the original of Letter of Credit <INSERT LETTER OF

CREDIT NUMBER> and a sight draft. Draft drawn under this Letter of

Credit <INSERT LETTER OF CREDIT NUMBER> must be marked

“Drawn Under Letter of Credit <LETTER OF CREDIT NUMBER>,

<BANK NAME & ADDRESS>. It must be accompanied by a written

certification and a copy of the CBA between <EMPLOYER> and

Operating Engineers Local 825. The certification must state that the

Employer is delinquent in remitting fringe benefits to the Operating

Engineers Local 825 Fringe Benefit Funds, along with a full description of

the delinquency, and state that <EMPLOYER> was in fact notified of said

delinquency.

<BANK NAME> may terminate its obligation hereunder by serving

written notice upon <EMPLOYER> and Operating Engineers Local 825

Funds at least thirty (30) days prior to the effective date of termination, via

certified mail, return receipt requested, to the office of the Operating

Engineers Local 825 Fund Service Facilities, 65 Springfield Avenue,

Springfield, New Jersey 07081. Such notice shall not eliminate liability

hereunder incurred prior to the effective date of the termination.

<BANK NAME> is bound hereunder independently of <EMPLOYER> in

the maximum amount of Twenty-Five Thousand Dollars ($25,000)

which may include any interest, liquidated damages, fees and costs as

established by the CBA, rules and regulations of the Operating Engineers

Local 825 and/or federal employee benefit laws.

This Letter of Credit shall expire on <DATE NOT LESS THAN ONE

YEAR FROM DATE OF SIGNING>. The terms of this Letter of Credit

may be changed or modified only upon the written consent of the parties

thereto.

It is agreed that the failure by <EMPLOYER> to file required employer

reports with any of the above Funds shall entitle the Funds, upon a

reasonable basis, to estimate and set forth the amount due to each of the

said Funds provided, however, that the total amount due and for which

<BANK> may be liable shall not exceed the amount set forth in paragraph

1 above.

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Irrevocable Letter Of Credit Page 2