First Advances Clause Samples
The "First Advances" clause defines the terms and conditions under which the initial disbursement of funds will be made in a financing or loan agreement. Typically, this clause outlines the prerequisites that must be satisfied before the lender releases the first portion of the loan, such as completion of due diligence, delivery of required documents, or achievement of certain project milestones. By clearly specifying these requirements, the clause ensures that both parties understand when and how the first advance will occur, thereby reducing uncertainty and protecting the lender from premature or unwarranted disbursement of funds.
First Advances. The obligation of the Bank to make available the First Advance in respect of any Ship shall be subject to the condition that the Bank or its duly authorised representative shall have received, on or prior to the drawdown of the relevant First Advance, the documents and evidence specified in Part 2 of schedule 2 in respect of such Ship, in form and substance satisfactory to the Bank.
First Advances. The obligation of the Bank to make a First Advance available shall be subject to the condition that the Bank or its duly authorised representative shall have received, not later than two (2) Banking Days before the day on which the Drawdown Notice for such First Advance is given, the documents and evidence specified in Part 2 of schedule 2 in respect of such First Advance in form and substance satisfactory to the Bank.
First Advances. The obligation of the Bank to make available the First Advance in respect of any Newbuilding shall be subject to the condition that the Bank or its duly authorised representative shall have received, on or prior to the drawdown of the relevant First Advance, the documents and evidence specified in Part 2 of schedule 2 in respect of such Newbuilding, in form and substance satisfactory to the Bank.