Some know of this agreement between the Cree Nation and Nemaska that was signed over 5 years ago. Most here are concerned about their own investment going down the tubes, yet the Cree never seem to come into the picture...
Perhaps it's time to consider the consequences of what they can do...
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12.20 TERMINATION
12.20.1 This Agreement shall terminate:
(a) upon expiry of the Term, without further notice or formality;
(b) upon the mutual agreement of the Parties at any time prior to the expiry of the Term;
(c) upon receipt by NMX of a Notice of Termination executed by the Cree Parties following the date of Abandonment of Mining Operations;
(d) upon receipt by NMX of a Notice of Termination executed by the Cree Parties, if the commencement of the Construction Phase has not occurred on the date that is five (5) years from the date of the issuance of the initial Certificate of Authorization to NMX for the Whabouchi Project;
(e) upon receipt by NMX of a Notice of Termination executed by the Cree Parties, in the event NMX:
(i) files a voluntary petition in bankruptcy or insolvency or a petition for reorganization, arrangement or compromise under any applicable bankruptcy law; or
(ii) consents to any involuntary petition in bankruptcy or if a receiving order is given against NMX under any bankruptcy law, or an order, judgment or decree is entered by a court of competent jurisdiction, upon the application of a creditor, receiver, trustee or liquidator of all or a substantial part of the assets of NMX;
(f) upon receipt by the Cree Parties of a Notice of Termination executed by NMX, if a Defaulting Party is any of the Cree Parties, or upon receipt by NMX of a Notice of Termination executed by all Cree Parties, if the Defaulting Party is NMX, and, in each of the foregoing cases, the Defaulting Party has failed to either remedy such Event of Default or submit the Event of Default to the dispute resolution process, including, as applicable, arbitration or a court of competent jurisdiction, as contemplated by Subsection 12.19.3, within the prescribed period;
(g) upon receipt by the Cree Parties of a Notice of Termination executed by NMX, if a Defaulting Party is any of the Cree Parties, or upon receipt by NMX of a Notice of Termination executed by all Cree Parties, if the Defaulting Party is NMX, if the Event of Default was submitted to the dispute resolution process as
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contemplated by Paragraph 12.19.3(b), such Event of Default was resolved prior to arbitration by an executed settlement agreement as a result of application of the dispute resolution process provided for in Chapter 9 or Chapter 11, as applicable, or otherwise and the Defaulting Party has failed to comply with the terms of such settlement agreement; or
(h) upon receipt by the Cree Parties of a Notice of Termination executed by NMX, if a Defaulting Party is any of the Cree Parties, or upon receipt by NMX of a Notice of Termination executed by all Cree Parties, if the Defaulting Party is NMX, if (i) the Event of Default was submitted to the arbitration process included in the dispute resolution process, as contemplated by Paragraph 12.19.3(b), the arbitrator (or arbitrators) has confirmed such Event of Default as a result of application of the arbitration process in Chapter 9 or Chapter 11, as applicable, and the Defaulting Party has failed to comply with the decision of the arbitrator (or arbitrators) or (ii) the Event of Default was the subject of a disagreement excluded from the definition of “Dispute” under this Agreement and submitted to a court of competent jurisdiction pursuant Chapter 11 or as otherwise provided in this Agreement, such court (or court of higher jurisdiction if subsequent to appeal) has confirmed such Event of Default, all rights of appeal have expired or been exhausted, and the Defaulting Party has failed to comply with the decision of the courts.
For the purpose of this Subsection, “Abandonment of Mining Operations” means: (i) the abandonment by NMX in accordance with Section 122 of the Mining Act of its mining lease granted in respect of the Whabouchi Project, or (ii) NMX has provided formal notice of abandonment to the Cree Parties, or has otherwise unequivocally acted in a manner that would lead a reasonable Person to conclude that NMX has abandoned or relinquished all of its rights with respect to the Whabouchi Project without consideration therefor.
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