BA Equivalent Notes Clause Samples
The "BA Equivalent Notes" clause defines what constitutes notes or debt instruments that are considered equivalent to Bankers' Acceptances (BAs) for the purposes of the agreement. In practice, this clause specifies the criteria or characteristics that other notes must meet to be treated as BAs, such as similar maturity dates, interest rates, or credit quality. By clearly outlining what qualifies as a BA equivalent, the clause ensures consistency in how different financial instruments are handled under the contract, reducing ambiguity and potential disputes over eligibility.
BA Equivalent Notes. Each Non-BA Lender will not accept Bankers' Acceptances hereunder, and shall instead from time to time make BA Equivalent Loans to the Borrower. Each BA Equivalent Loan shall be evidenced by a non-interest bearing promissory note payable by the Borrower to the Non-BA Lender substantially in the form of Exhibit "H" attached hereto, which will be purchased by the Non-BA Lender. Each BA Equivalent Note shall be negotiable by the Non-BA Lender without notice to or the consent of the Borrower, and the holder thereof shall be entitled to enforce such BA Equivalent Note against the Borrower free of any equities, defences or rights of set-off that may exist between the Borrower and the Non-BA Lender. In this Agreement, all references to a BA Equivalent Note shall mean the loan evidenced thereby if required by the context; and all references to the "issuance" of a BA Equivalent Note by a Non-BA Lender and similar expressions shall mean the making of a BA Equivalent Loan by the Non-BA Lender which is evidenced by a BA Equivalent Note. The following provisions are applicable to each BA Equivalent Loan made by a Non-BA Lender to the Borrower hereunder:
BA Equivalent Notes. The provisions of this Section apply mutatis mutandis to BA Equivalent Notes, and unless otherwise specified a BA Equivalent Note is considered to be a Bankers' Acceptance for the purposes of this Agreement.
BA Equivalent Notes. No Non-BA Lender shall accept Bankers’ Acceptances hereunder, but shall instead from time to time make BA Equivalent Loans to the Canadian Borrower. Each BA Equivalent Loan shall be evidenced by a BA Equivalent Note payable by the Canadian Borrower to the applicable Non- BA Lender, and which will be purchased by the Non-BA Lender. Each BA Equivalent Note shall be negotiable by the Non-BA Lender without notice to or the consent of the Canadian Borrower, and the holder thereof shall be entitled to enforce such BA Equivalent Note against the Canadian Borrower free of any equities, defences or rights of set-off that may exist between the Canadian Borrower and the Non-BA Lender. In this Agreement, all references to a BA Equivalent Note shall mean the loan evidenced thereby if required by the context; and all references to the “issuance” of a BA Equivalent Note by a Non-BA Lender and similar expressions shall mean the making of a BA Equivalent Loan by the Non-BA Lender which is evidenced by a BA Equivalent Note. For greater certainty, the net amount to be made available by each Non-BA Lender on any applicable Borrowing Date in respect of a BA Equivalent Loan made by it on such date shall be equal to the BA Discount Proceeds that such Non-BA Lender would have been required to make available to the Canadian Borrower had such Non-BA Lender been a Schedule I Lender that purchased Bankers’ Acceptances on such date. The following provisions are applicable to each BA Equivalent Loan made by a Non-BA Lender to the Canadian Borrower hereunder. The Canadian Borrower agrees to provide payment of the face amount of each BA Equivalent Note to the Agent on the maturity of the BA Equivalent Note or, prior to such maturity, on the Acceleration Date; and the Agent shall remit the face amount to such Non-BA Lender and such Non-BA Lender shall, if applicable, in turn remit such amount to the holder of the BA Equivalent Note. If the Canadian Borrower fails to provide for the payment of the BA Equivalent Note accordingly, any amount not so paid shall be deemed to be a Cdn. Prime-Based Loan advanced hereunder and shall be immediately payable by the Canadian Borrower to the Agent on behalf of the Non-BA Lender together with interest on such amount calculated daily and payable monthly at the rate and in the manner applicable to Cdn. Prime-Based Loans under the Term Facility. The Canadian Borrower agrees to accept each such Cdn. Prime-Based Loan and irrevocably authorizes and directs ...
BA Equivalent Notes. This power of attorney shall continue in force until written notice of revocation has been served upon the Agent on behalf of the Non-BA Lender by the Borrower at the Administrative Agent’s address provided in Section 9.01.