Insurers: Insurers are essential for a project. If there is a disaster affecting the project, sponsors and lenders will turn to insurers to cover the losses. In the first PFI projects, it was customary to have separate agreements for different phases of the project, such as for example. B a development agreement for the design and construction phase and an operations management or facility management agreement for the operation phase. Today, however, it is more common to have a single project agreement covering all aspects of the project. Direct agreement of lenders: this is a tripartite agreement between the Authority, Projectco and the lenders, under which the Authority undertakes to give the lenders a period of time to announce in advance the imminent termination of the project agreement. • the ability of lenders to announce, during the period indicated or after a default under the facility agreement, that they will designate an organization that will assume the rights and obligations of the project company in the project document; Where appropriate, a direct agreement may include clauses in which the counterparty to the project document agrees to the collection or assignment as security of the project company`s rights contained in the project document. The contractor and the planning team provide guarantees to both the AMF and the lenders. Lenders usually have the first right to enter the construction contract instead of Projectco. All rights of the Authority are generally subject to the rights of lenders. If the counterparty agrees not to terminate the project document for a given period, lenders must decide whether or not to intervene during that period. . .
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