Common use of Default on Guarantor Senior Indebtedness; Subrogation Clause in Contracts

Default on Guarantor Senior Indebtedness; Subrogation. The Guarantor may not make any payment pursuant to the Guaranty or make any deposit pursuant to Section 9.6 (collectively, "pay the Guaranty") if (i) any Guarantor Senior Indebtedness is not paid when due or (ii) any other default on Guarantor Senior Indebtedness occurs and the maturity of such Guarantor Senior Indebtedness is accelerated in accordance with its terms unless, in either case, (x) the default has been cured or waived and any such acceleration has been rescinded in writing or (y) such Guarantor Senior Indebtedness has been paid in full; provided, however, that the Guarantor may pay the Guaranty without regard to the foregoing if the Guarantor and the Trustee receive written notice approving such payment from the Representative of the holders of Guarantor Senior Indebtedness with respect to which either of the events set forth in clause (i) or (ii) of the immediately preceding sentence has occurred and is continuing. During the continuance of any default (other than a default described in clause (i) or (ii) of the preceding sentence) with respect to any Guarantor Senior Indebtedness pursuant to which the maturity thereof may be accelerated immediately without further notice (except such notice as may be required to effect such acceleration) or the expiration of any applicable grace periods, the Guarantor may not pay the Guaranty for a period (a "Payment Blockage Period") commencing upon the receipt by the Guarantor and the Trustee of written notice (a "Blockage Notice") of such default from a Representative of the holders of Guarantor Senior Indebtedness specifying an election to effect a Payment Blockage Period and ending 179 days thereafter (or earlier if such Payment Blockage Period is terminated (i) by written notice to the Trustee and the Guarantor from the Representative who gave such Blockage Notice, (ii) because the default giving rise to such Blockage Notice is no longer continuing or (iii) by repayment in full of such Guarantor Senior Indebtedness). Notwithstanding the provisions of the immediately preceding sentence (but subject to the provisions contained in the first sentence of this Section 13.6), unless the holders of such Guarantor Senior Indebtedness or a Representative of such holders shall have accelerated the maturity of such Guarantor Senior Indebtedness, the Guarantor may resume to pay the Guaranty after such payment Blockage Period. Not more than one Blockage Notice may be given in any consecutive 360-day period, irrespective of the number of defaults with respect to Guarantor Senior Indebtedness during such period.

Default on Guarantor Senior Indebtedness; Subrogation. The Guarantor may not make any payment pursuant to the Guaranty or make any deposit pursuant to Section 9.6 (collectively, "pay the Guaranty") if (i) any Guarantor Senior Indebtedness is not paid when due or (ii) any other default on Guarantor Senior Indebtedness occurs and the maturity of such Guarantor Senior Indebtedness is accelerated in accordance with its terms unless, in either case, (x) the default has been cured or waived and any such acceleration has been rescinded in writing or (y) such Guarantor Senior Indebtedness has been paid in full; provided, however, that the Guarantor may pay the Guaranty without regard to the foregoing if the Guarantor and the Trustee receive written notice approving such payment from the Representative of the holders of Guarantor Senior Indebtedness with respect to which either of the events set forth in clause (i) or (ii) of the immediately preceding sentence has occurred and is continuing. During the continuance of any default (other than a default described in clause (i) or (ii) of the preceding sentence) with respect to any Guarantor Senior Indebtedness pursuant to which the maturity thereof may be accelerated immediately without further notice (except such notice as may be required to effect such acceleration) or the expiration of any applicable grace periods, the Guarantor may not pay the Guaranty for a period (a "Payment Blockage Period") commencing upon the receipt by the Guarantor and the Trustee of written notice (a "Blockage Notice") of such default from a Representative of the holders of Guarantor Senior Indebtedness specifying an election to effect a Payment Blockage Period and ending 179 days thereafter (or earlier if such Payment Blockage Period is terminated (i) by written notice to the Trustee and the Guarantor from the Representative who gave such Blockage Notice, (ii) because the default giving rise to such Blockage Notice is no longer continuing or (iii) by repayment in full of such Guarantor Senior Indebtedness). Notwithstanding the provisions of the immediately preceding sentence (but subject to the provisions contained in the first sentence of this Section 13.6), unless the holders of such Guarantor Senior Indebtedness or a Representative of such holders shall have -80- accelerated the maturity of such Guarantor Senior Indebtedness, the Guarantor may resume to pay the Guaranty after such payment Blockage Period. Not more than one Blockage Notice may be given in any consecutive 360-day period, irrespective of the number of defaults with respect to Guarantor Senior Indebtedness during such period.

Default on Guarantor Senior Indebtedness; Subrogation. The Guarantor may not make any payment pursuant to the Guaranty or make any deposit pursuant to Section 9.6 (collectively, "pay the Guaranty") if (i) any Guarantor Senior Indebtedness is not paid when due or (ii) any other default on Guarantor Senior Indebtedness occurs and the maturity of such Guarantor Senior Indebtedness is accelerated in accordance with its terms unless, in either case, (x) the default has been cured or waived and any such acceleration has been rescinded in writing or (y) such Guarantor Senior Indebtedness has been paid in full; provided, however, that the Guarantor may pay the Guaranty without regard -------- ------- to the foregoing if the Guarantor and the Trustee receive written notice approving such payment from the Representative of the holders of Guarantor Senior Indebtedness with respect to which either of the events set forth in clause (i) or (ii) of the immediately preceding sentence has occurred and is continuing. During the continuance of any default (other than a default described in clause (i) or (ii) of the preceding sentence) with respect to any Guarantor Senior Indebtedness pursuant to which the maturity thereof may be accelerated immediately without further notice (except such notice as may be required to effect such acceleration) or the expiration of any applicable grace periods, the Guarantor may not pay the Guaranty for a period (a "Payment Blockage Period") commencing upon the receipt by the Guarantor and the Trustee of written notice (a "Blockage Notice") of such default from a -80- Representative of the holders of Guarantor Senior Indebtedness specifying an election to effect a Payment Blockage Period and ending 179 days thereafter (or earlier if such Payment Blockage Period is terminated (i) by written notice to the Trustee and the Guarantor from the Representative who gave such Blockage Notice, (ii) because the default giving rise to such Blockage Notice is no longer continuing or (iii) by repayment in full of such Guarantor Senior Indebtedness). Notwithstanding the provisions of the immediately preceding sentence (but subject to the provisions contained in the first sentence of this Section 13.6), unless the holders of such Guarantor Senior Indebtedness or a Representative of such holders shall have accelerated the maturity of such Guarantor Senior Indebtedness, the Guarantor may resume to pay the Guaranty after such payment Blockage Period. Not more than one Blockage Notice may be given in any consecutive 360-day period, irrespective of the number of defaults with respect to Guarantor Senior Indebtedness during such period.