Automatic Conversion to Base Rate Sample Clauses
The "Automatic Conversion to Base Rate" clause establishes that, under certain conditions, an interest rate or other variable rate will automatically revert to a predetermined base rate. Typically, this clause is triggered if a reference rate becomes unavailable, is discontinued, or cannot be determined for a specified period. For example, if a loan agreement references LIBOR and LIBOR ceases to be published, the interest rate would automatically switch to a base rate such as the lender's prime rate or another agreed benchmark. This clause ensures continuity and predictability in financial agreements by providing a clear fallback mechanism, thereby reducing uncertainty and potential disputes when the original reference rate is no longer viable.
Automatic Conversion to Base Rate. Any provision of this Agreement to the contrary notwithstanding, if Lender should at any time determine that (i) it is not reasonably possible to determine LIBOR or the LIBOR Index Rate, (ii) LIBOR or the LIBOR Index Rate is no longer available, (iii) it is no longer lawful for Lender to make Loans at any rate based on LIBOR or the LIBOR Index Rate, or (iv) a Default or Event of Default exists and Lender shall so elect, then, in each case, (A) all affected LIR Loans shall automatically and without notice be converted into Base Rate Loans and (B) all obligations of Lender to make LIR Loans shall cease until such time as Lender shall have determined that it is able to determine LIBOR or the LIBOR Index Rate, such illegality shall be reversed, or such Event of Default shall have been waived or cured, as applicable.
Automatic Conversion to Base Rate. Any provision of this Agreement to the contrary notwithstanding, if the Lender at any time or from time to time determines that (i) Term SOFR Index is unavailable, (ii) Term SOFR Index cannot be determined, (iii) Term SOFR Index does not adequately reflect the cost to the Lender of making, funding, or maintaining any Loan, (iv) the use of Term SOFR Index has become impracticable or unreliable, (v) Term SOFR Index is no longer representative of the underlying market or economic reality, (vi) it is no longer lawful for the Lender to lend at an interest rate based on Term SOFR Index, or (vii) an Event of Default exists and at any time during its continuation the Lender shall so elect, then, in each case, unless and except to the extent otherwise provided in subsection (h) below, (A) all affected SOFR Loans shall automatically and without notice be converted into Base Rate Loans and (B) all obligations of the Lender to make SOFR Loans shall cease until such time as the Lender shall have determined that it is able to determine SOFR or that such illegality or other condition described above shall have been reversed, or that such Event of Default shall have been waived, as applicable.
Automatic Conversion to Base Rate. After the occurrence and during the continuance of an Event of Default hereunder, each Lender may, in its sole discretion, provide Administrative Agent and Borrowers notice of its election to charge interest rates at the Base Rate, and Administrative Agent promptly shall transmit the notice to each other Lender and during the continuance of such Event of Default, the portion of the Term Loans held by such Lender shall be converted from accruing interest at a per annum rate equal to the Contract Rate to accruing interest at a per annum rate equal to the Base Rate plus such applicable margin as will result in the same effective rate of interest applicable immediately prior to such conversion.
Automatic Conversion to Base Rate. If the Borrower fails to notify the Agent of the conversion or continuance of any Eurodollar Loan within the time specified in this Section 2.06, or is otherwise not permitted to convert or continue any Eurodollar Loan pursuant to said Section, then any such Loan shall automatically convert to a Base Rate Loan on the last day of the then expiring applicable Interest Period.
Automatic Conversion to Base Rate. Any provision of this Agreement to the contrary notwithstanding, if Lender should at any time determine that (i) it is not reasonably practicable for Lender to determine LIBOR or the LIBOR Index Rate, (ii) that LIBOR or the LIBOR Index Rate is no longer available, (iii) it is no longer lawful for Lender to make Loans at any rate based on LIBOR or the LIBOR Index Rate, (iv) the LIBOR Index Rate no longer fairly and adequately compensates Lender for its extensions of the credit contemplated hereby, or (v) an Event of Default exists and at any time during its continuation Lender shall so elect, then, in each case, (A) all affected LIR Loans shall automatically and without notice be converted into Base Rate Loans and (B) all obligations of Lender to make LIR Loans shall cease until such time as Lender shall have determined that it is able to determine the LIBOR Index Rate or such illegality or other condition described above shall have been reversed, or such Event of Default shall have been waived, as applicable.
Automatic Conversion to Base Rate. Any provision of this Agreement to the contrary notwithstanding and without limiting the provisions of Section 11, if Administrative Agent should at any time determine (or, in the case of clause (iii) below, be notified that any Lender has determined) that (i) it is not reasonably possible to determine LIBOR or the LIBOR Index Rate, (ii) that LIBOR or the LIBOR Index Rate is no longer available, (iii) it is no longer lawful for one or more Lenders to make Loans at any rate based on LIBOR or the LIBOR Index Rate, or (iv) a Default or Event of Default exists and Administrative Agent shall so elect, then, in each case, (A) all affected LIR Loans shall automatically and without notice be converted into Base Rate Loans and (B) all obligations of the Lenders to make LIR Loans shall cease until such time as Administrative Agent shall have determined (or, in the case of clause (iii) above, be notified that any Lender has determined) that it is able to determine LIBOR or the LIBOR Index Rate, as applicable, such illegality shall be reversed, or such Event of Default shall have been waived or cured, as applicable.