Understanding Termination Payment Provisions in DBFOM Contracts

CA Rakesh T , Last updated: 21 February 2024  
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In DBFOM contracts, particularly in the GCC region, the Termination Payment clause is crucial. It outlines what happens and who gets compensated if the project is terminated early. How well this clause is defined directly affects the bankability of the project forboth sponsors and lenders. If the

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CA Rakesh T
(Chartered Accountant)
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