CAYMAN RATE Sample Clauses
The "Cayman Rate" clause defines the specific interest rate or benchmark rate applicable to financial transactions involving entities or accounts based in the Cayman Islands. Typically, this clause outlines how the rate is determined, such as referencing a published rate from a Cayman-based bank or financial institution, and may specify adjustments or fallback procedures if the rate is unavailable. Its core practical function is to ensure clarity and consistency in calculating interest or returns for Cayman-related financial arrangements, thereby reducing ambiguity and potential disputes over applicable rates.
CAYMAN RATE. The election of Cayman Rates shall be subject to the following terms and requirements:
(a) The interest period during which the Cayman Rate will be in effect will be no shorter than 30 days and no longer than one year. The last day of the interest period will be determined by the Bank using the practices of the offshore dollar inter-bank market.
(b) Each Cayman Rate Portion will be for an amount not less than Five Hundred Thousand Dollars ($500,000).
(c) The Borrower may not elect a Cayman Rate with respect to any principal amount which is scheduled to be repaid before the last day of the applicable interest period.
CAYMAN RATE. The election of Cayman Rates shall be subject to the following terms and requirements:
(a) The interest period during which the Cayman Rate will be in effect will be 180 days or less. The last day of the interest period will be determined by the Bank using the practices of the offshore dollar inter-bank market.
(b) Each Cayman Rate Portion will be for an amount not less than Five Hundred Thousand Dollars ($500,000) for interest periods of 30 days or longer. For shorter maturities, each Cayman Rate Portion will be for an amount which, when multiplied by the number of days in the applicable interest period, is not less than fifteen million (15,000,000) dollar-days.
(c) The Borrower may not elect a Cayman Rate with respect to any principal amount which is scheduled to be repaid before the last day of the applicable interest period.