BORROWING RESTRICTIONS Clause Samples
The Borrowing Restrictions clause sets limits on a party’s ability to incur new debt or take on additional financial obligations. Typically, this clause outlines specific thresholds or conditions under which borrowing is permitted, such as requiring lender approval for loans above a certain amount or prohibiting certain types of debt altogether. Its core function is to protect the interests of the other party—often a lender or investor—by preventing excessive indebtedness that could jeopardize the borrower’s financial stability or the value of collateral.
BORROWING RESTRICTIONS. 10.4.1 Subject to any statutory requirements for the time being in force and the terms and conditions herein contained the Management Company may, at any time with the approval of Trustee make arrangements with Banks or other financial institutions for borrowing for the account of the Trust for meeting redemption requests. Provided, that the charges payable to such Bank or financial institution are not higher than the normal Bank charges.
10.4.2 Provided further that the maximum borrowing for the account of the Trust shall not exceed 15% (fifteen percent) of the total Net Asset Value of Fund at the time of borrowing and shall be repayable within a period of ninety (90) days but if subsequent to such borrowing, the Net Assets have reduced as a result of depreciation in the market value of the Trust Property or redemption of Units, the Management Company shall not be under any obligation to reduce such borrowing.
10.4.3 For the purpose of securing any such borrowing the Trustee may on the instruction of the Management Company; mortgage, charge or pledge in any manner all or any part of the Trust Property, provided that the aggregate amount to be secured by such mortgage, charge or pledge shall not exceed the limit provided in the Regulations.
10.4.4 Neither the Trustee nor the Management Company shall be required to issue any guarantee or provide security over their own assets for securing such borrowings on account of the Trust from Banks and financial institutions. The Trustee or the Management Company shall not in any manner be liable in their personal capacities for repayment of any borrowings.
10.4.5 The Trustee or the Management Company shall not incur any liability by reason of any loss to the Trust or any loss that a Unit Holder may suffer by reason of any depletion in the Net Asset Value that may result from any borrowing arrangement made hereunder in good faith.
BORROWING RESTRICTIONS. Subject to the terms and conditions of this Agreement, during the Commitment Period each Lender may make (but is not obligated to make) a Money Market Rate Loan to the Company in such amount or amounts as the Company may from time to time request, provided that the sum of the total Loans outstanding under Sections 2.1A and 2.1B plus the aggregate principal amount of outstanding Competitive Loans at any time shall not exceed the Commitments which, as of the date hereof, total Two Hundred Ninety Million Dollars ($290,000,000) Subject to the provisions of this Agreement, the Company shall be entitled under this Paragraph B to borrow funds, repay the same in whole or in part and reborrow hereunder at any time and from time to time from any Lender making Money Market Rate Loans to the Company. The Administrative Agent shall not be involved, in its capacity as such agent, in any borrowing(s) by the Company under this Section 2.1B; provided, however, the Administrative Agent shall be advised by the Company of each such borrowing hereunder. The procedures for any such Loan shall be as agreed upon by the Company and each Lender making a Loan under this Paragraph B.
BORROWING RESTRICTIONS. The amounts borrowed by the Windrace Group (as determined in accordance with the provisions of the relevant instrument) do not exceed any limitation on its borrowing powers contained in its articles of association or other constitutional documents, or in any debenture or other deed or document binding upon it.
BORROWING RESTRICTIONS. Subject to the terms and conditions of this Agreement, during the Commitment Period each Lender may make (but is not obligated to make) a Money Market Rate Loan to the Company in such amount or amounts as the Company may from time to time request, provided that the sum of the total Loans outstanding under Sections 2.1A, 2.1B and 2.1C plus the aggregate
BORROWING RESTRICTIONS. Each BCIMC Limited Partner has informed the General Partner that it is prohibited from issuing a debt obligation and the General Partner hereby agrees that without the consent of the applicable BCIMC Limited Partner: (i) it shall not require any BCIMC Limited Partner, or will it enter into any financing activity or transaction that may require any BCIMC Limited Partner, to be obligated, to execute or deliver a guarantee of any obligations of the Partnership or any other Person in connection with the Partnership; (ii) it will not require any BCIMC Limited Partner to make any payment or commit to make any payment in respect of its Capital Contributions other than to an account of the Partnership; and (iii) confirms that each BCIMC Limited Partner’s liability with respect to any debt obligations of the Partnership shall be limited to the extent of its limited liability as a Limited Partner of the Partnership. Notwithstanding the foregoing, the BCIMC Limited Partner acknowledges that each of the BCIMC Accident Fund Partner and the pooled investment portfolio known as “Realpool Global” may be permitted, in certain circumstances and subject to conditions, approvals and qualifications, to provide a guarantee in respect of certain secured asset financing of the Partnership or the Investment Entities, but in no event shall be obligated to provide such a guarantee.
BORROWING RESTRICTIONS. Subject to the terms and conditions of this Agreement, during the Commitment Period each Bank may make (but is not obligated to make) a Money Market Rate Loan to the Company in such amount or amounts as the Company may from time to time request, not exceeding in aggregate principal amount, at any one time outstanding hereunder, the sum Two Hundred Fifty Million Dollars ($250,000,000). Subject to the provisions of this Agreement, the Company shall be entitled under this Paragraph B to borrow funds, repay the same in whole or in part and reborrow hereunder at any time and from time to time from any Bank making Money Market Rate Loans to the Company. The Administrative Agent shall not be involved, in its capacity as such agent, in any borrowing(s) by the Company under this Section 2.
BORROWING RESTRICTIONS. Subject to the terms and conditions of this Agreement, during the Commitment Period each Bank may make (but is not obligated to make) a Money Market Rate Loan to the Company in such amount or amounts as the Company may from time to time request, not exceeding in aggregate principal amount, at any one time outstanding hereunder, the sum One Hundred Million Dollars ($100,000,000). Subject to the provisions of this Agreement, the Company shall be entitled under this Paragraph B to borrow funds, repay the same in whole or in part and reborrow hereunder at any time and from