Department of Natural Resources and Environmental Control
Tank Management Section
1351 Underground Storage Tank Systems
Authenticated PDF Version__________________________________
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[Name and address of issuing institution]
Delaware Department of Natural Resources and Environmental Control
We hereby establish our Irrevocable Standby Letter of Credit No. _____ in your favor, at the request and for the account of [Owner or Operator name] of [address] up to the aggregate amount of [in words] U.S. dollars ($ [insert dollar amount] ), available upon presentation [insert, if more than one Director of a State implementing agency is a beneficiary, "by any one of you"] of
(1) your sight draft, bearing reference to this letter of credit, No. ________________, and
(2) your signed statement reading as follows:
This letter of credit may be drawn on to cover [insert: "taking corrective action" and/or "compensating third parties for Bodily Injury and Property Damage" caused by Accidental Releases] arising from operating the Underground Storage Tank Systems identified below in the amount of [in words] $[insert dollar amount] per Occurrence and [in words] $[insert dollar amount] Annual Aggregate:
The letter of credit may not be drawn on to cover any of the following:
(a) Any obligation of [Owner or Operator] under a workers' compensation, disability benefits, or unemployment compensation law or other similar law;
(b) Bodily Injury to an employee of [insert Owner or Operator] arising from, and in the course of, employment by [insert Owner or Operator];
(d) Property Damage to any property owned, rented, loaned to, in the care, custody, or control of, or occupied by [insert Owner or Operator] that is not the direct result of a Release from a UST System;
(e) Bodily Injury or Property Damage for [Owner or Operator] which is obligated to pay damages by reason of the assumption of liability in a contract or agreement other than a contract or agreement entered into to meet the requirements of Part F, §1.3. of these Regulations.
This letter of credit is effective as of [date] and shall expire on [date] but such expiration date shall be automatically extended for a period of [at least the length of the original term] on [expiration date] and on each successive expiration date, unless, at least 120 days before the current expiration date, we notify [Owner or Operator] by certified mail that we have decided not to extend this letter of credit beyond the current expiration date. In the event that [Owner or Operator] is so notified, any unused portion of the credit shall be available upon presentation of your sight draft for 120 days after the date of receipt by [Owner or Operator] as shown on the signed return receipt.
Whenever this letter of credit is drawn on under and in compliance with the terms of this credit, we shall duly honor such draft upon presentation to us, and we shall deposit the amount of the draft directly into the standby trust fund of [Owner or Operator] in accordance with your instructions.
We certify that the wording of this letter of credit is identical to the wording specified in this Part F, §3.6, Form F of the Delaware Regulations Governing Underground Storage Tank Systems as such Regulations were constituted on the date shown immediately below.
Signature(s) and title(s) of official(s) of issuing institution
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[Signature of Official of Issuing Institution]
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Authorized Representative of [name of Issuing Institution]
This credit is subject to [insert "the most recent edition of the Uniform Customs and Practice for Documentary Credits, published by the International Chamber of Commerce," or "the Uniform Commercial Code"].
