First loss Clause Samples

The 'First loss' clause establishes that a specific party will bear the initial portion of any losses arising from a particular event or transaction, up to a predetermined amount. In practice, this means that if a loss occurs, the designated party is responsible for covering the first segment of the loss, such as the first $100,000, before any other parties or insurers are required to contribute. This clause is commonly used in insurance and lending agreements to allocate risk and incentivize careful behavior by ensuring that the party with the first loss exposure has a direct financial stake in minimizing potential losses.
POPULAR SAMPLE Copied 6 times
First loss. The Company covenants and agrees that it ---------- will not make any drawing under the Letter of Credit unless (and then only to the extent that) at the time of such drawing the aggregate amount then due from the Reinsurer with respect to the Coinsured Policies under the Coinsurance Agreement which the Reinsurer has failed to pay exceeds the sum of (i) $113,000,000 plus (ii) the aggregate unreimbursed amount of any prior drawings under the Letter of Credit.
View Source
First loss. In the event that the amount at risk in any one vessel, conveyance or location exceeds the limit applicable and the actual value has not been declared prior to attachment or prior to loss, accident or arrival, claims will be settled on a “first loss” basis up to the amount of the agreement limit.
View SourceView Similar (2)
First loss. If at any time any part of a Purchased Receivable falls within First Loss, the relevant Seller agrees promptly to notify the Bank. The Bank and the relevant Seller agree that the loss suffered by the Bank in respect of any part of a Purchased Receivable falling within First Loss will be a sum equal to the reduction in the Net Value arising as a result. At the Bank’s determination in its sole discretion and upon the Bank’s request, the relevant Seller undertakes to promptly on demand pay the amount of that reduction to the Bank, in discharge of the loss suffered by the Bank as a result of any part of a Purchased Receivable falling within First Loss.
View Source
First loss. The Customer must pay the first $150 (including GST) of any amount claimed from Eclipx under clause 18.2 to compensate Eclipx for its processing costs.
View SourceView Similar (3)
First loss. The Guarantee is payment of the first loss of the Guaranteed Loan after the Lender’s completion of the Default Procedures in this Agreement. Lender shall follow the Default Procedures in this Agreement and submit a Claim as set forth in Section 11 to obtain collection on a Guaranteed Loan.
View Source

Related to First loss

  • FIRST LOSS TRANCHE The Assuming Bank has submitted to the Receiver an asset premium (discount) bid of negative three billion dollars ($3,000,000,000) and a Deposit premium bid of zero percent (0%). The Deposit premium bid will be applied to the total of all Assumed Deposits except for brokered, CDARS, and any market place or similar subscription services Deposits. The First Loss Tranche shall be determined by adding (i) the asset premium (discount) bid, (ii) the Deposit premium bid, and (iii) the Equity Adjustment. If the First Loss Tranche is a positive number, then this is the Losses on Single Family Shared-Loss Loans and Net Charge-offs on Shared Loss Assets that the Assuming Bank will incur before loss-sharing commences under Exhibits 4.15A and 4.15B. If the First Loss Tranche is a negative number, the Corporation shall pay such amount by wire transfer to the Assuming Bank by the end of the first business day following Bank Closing and loss sharing shall commence immediately.

  • DATA LOSS The Company does not accept responsibility for the security of Your account or content. You agree that Your use of the Website or Services is at Your own risk.

  • Net Loss A Net Loss for a particular fund or, in the case of a multi-class fund, a class results when aggregate Losses exceed aggregate Benefits (i.e., net redemptions on a day the fund’s or class’s NAV is overstated or net subscriptions on a day the fund’s or class’s NAV is understated) during the Error Period.

  • Allowance for Possible Loan Losses The allowance for possible loan or credit losses (the “Allowance”) shown on the consolidated balance sheets of each Subsidiary, as applicable, included in the most recent SEC Documents dated prior to the date of this Agreement was, as of the dates thereof, adequate (within the meaning of GAAP and applicable regulatory requirements or guidelines) to provide for all known, reasonably anticipated or probable losses relating to or inherent in the loan and lease portfolios (including accrued interest receivables) of such Subsidiary and other extensions of credit (including letters of credit and commitments to make loans or extend credit) by such Subsidiary as of the date thereof; provided, however, that there can be no assurance that future losses will not exceed the Allowance, or that additional provisions for loan losses will not be required in future periods, and provided, further, that it is understood that the Company’s determination of the Allowance is subject to review by the Company’s bank regulator, which can require the establishment of additional general or specific allowances.

  • Carrybacks Except to the extent otherwise consented to by Parent or prohibited by applicable law, each Spinco shall elect to relinquish, waive or otherwise forgo all Carrybacks. In the event that a Spinco (the “Carryback Spinco”), or the appropriate member of its respective Spinco Group, is prohibited by applicable law to relinquish, waive or otherwise forgo a Carryback (or Parent consents to a Carryback), (i) each Party shall cooperate with the Carryback Spinco, at the Carryback Spinco’s expense, in seeking from the appropriate Tax Authority such Refund as reasonably would result from such Carryback, and (ii) the Carryback Spinco shall be entitled to any Income Tax Benefit Actually Realized by a member of another Group (including any interest thereon received from such Tax Authority), to the extent that such Refund is directly attributable to such Carryback, within 15 Business Days after such Refund is Actually Realized; provided, however, that the Carryback Spinco shall indemnify and hold the members of the other Party’s Group harmless from and against any and all collateral tax consequences resulting from or caused by any such Carryback, including (but not limited to) the loss or postponement of any benefit from the use of tax attributes generated by a member of the other Party’s Group or an Affiliate thereof if (x) such tax attributes expire unutilized, but would have been utilized but for such Carryback, or (y) the use of such tax attributes is postponed to a later taxable period than the taxable period in which such tax attributes would have been utilized but for such Carryback. If there is a Final Determination that results in any change to or adjustment of an Income Tax Benefit Actually Realized by a member of the other Party’s Group that is directly attributable to a Carryback, then the other Party (or its designee) shall make a payment to the Carryback Spinco, or the Carryback Spinco shall make a payment to the other Party (or its designee), as may be necessary to adjust the payments between the Carryback Spinco and the other Party (or its designee) to reflect the payments that would have been made under this Section 7(b) had the adjusted amount of such Income Tax Benefit been taken into account in computing the payments due under this Section 7(b).