2.1 The Authority acknowledges notice of, and consents to, the security interest granted over Sub-hubco's rights under the Authority Project Documents5 effected by Sub-hubco in favour of the Senior Funders under the Security Documents.
2.2 The Authority confirms that it has not received notice of any other security interest granted over Sub-hubco's rights under the Authority Project Documents.
2.3 Except as specifically provided for in this Agreement the Authority has no obligations (whether express, implied, collateral or otherwise) to the Agent and/or the Senior Funders in connection with this Agreement or the Authority Project Documents or the Project.
2.4 The Authority acknowledges notice of and consents to the security interest granted by Hubco in favour of the Agent over the entire issued share capital of Sub-hubco.6
2.5 [For the purposes of Clause 34.3 of the Design Build Finance and Maintain Agreement, Sub-hubco and the Agent hereby authorise and instruct the Authority (and the Authority agrees) to pay all sums payable to Sub-hubco under the Authority Project Documents to the [account] and Sub-hubco and the Authority agree that upon the occurrence of an Enforcement Event, if so directed in writing by the Agent upon giving reasonable notice7, the Authority shall pay any sum which it is obliged to pay to Sub-hubco under the Authority Project Documents to a bank account specified by the Agent.]
2.6 The Authority shall not be obliged to make any enquiry as to the authority of the Agent in doing any act or entering into any document or making any agreement under or in connection with this Agreement and the Authority shall be entitled to assume that the Agent is duly authorised by each of the Senior Funders to assume the obligations expressed to be assumed by it under this Agreement and to undertake on behalf of each Senior Funder in the terms of this Agreement so as to bind each Senior Funder as if it were a party hereto.
2.7 The rights of the Agent under this Agreement shall be extinguished upon the Final Payment Date.
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5 It may be appropriate to incorporate an acknowledgement of the creation of security over other project documents (eg any leases to Sub-hubco if applicable). It may also be appropriate to include in this clause an acknowledgement (if applicable) that Service Payments due from the Authority are to be made to a designated account of Sub-hubco held by the Agents.┴
6 This clause is not mandatory and will only be relevant in cases where a holding company structure is adopted by the sponsors.
7 The Authority should not be exposed to the possibility that it may be too late to revoke a payment to Sub-hubco which has already been set up, such that the Authority is at risk of having to pay twice.