Increases in Commitments Clause Samples
The "Increases in Commitments" clause allows parties to raise the total amount of financial commitments or credit available under an agreement. Typically, this clause outlines the process for requesting and approving additional commitments, such as requiring lender consent or specifying notice periods. Its core function is to provide flexibility for borrowers to access more funds as needed, while ensuring that all parties agree to the revised terms, thereby accommodating changing financial needs without renegotiating the entire agreement.
Increases in Commitments. So long as no Event of Termination or Unmatured Event of Termination has occurred and is continuing, upon notice to the Administrative Agent and each Purchaser, the Seller may request on a one-time basis that the Purchasers ratably increase their respective Commitments, in an aggregate amount not to exceed $50,000,000; provided, that such request for an increase shall be in a minimum amount of $10,000,000. At the time of sending such notice with respect to the Purchasers, the Seller (in consultation with the Administrative Agent and the Purchasers) shall specify (i) the aggregate amount of such increase and (ii) the time period within which such Purchasers and the Administrative Agent are requested to respond to the Seller’s request (which shall in no event be less than ten (10) Business Days from the date of delivery of such notice to the Administrative Agent and the Purchasers). Each of the Purchasers and the Administrative Agent shall notify the Seller and the Master Servicer within the applicable time period whether or not such Person agrees, in its respective sole discretion, to make such ratable increase in such Purchaser’s Commitment or otherwise agrees to any lesser increase in its Commitment. Any such Person not responding within such time period shall be deemed to have declined to consent to an increase in such Purchaser’s Commitment. In the event that one or more Purchasers fails to consent to all or any portion of any such request for an increase in its Commitment, the Seller may (in consultation with the Administrative Agent) request that any unaccepted portion of the requested increases in Commitments be allocated to one or more willing Purchaser as agreed in writing among the Seller, the Administrative Agent and such willing Purchasers (in each case, in their sole discretion), such that such Purchasers’ increase in their Commitment exceeds such Purchaser’s ratable share. Any such Purchaser may agree, in its sole discretion, to such increase in its Commitment. If the Commitment of any Purchaser is increased in accordance with this clause (g), the Administrative Agent, the Purchasers, the Seller and the Master Servicer shall (i) determine the effective date with respect to such increase and shall enter into such documents as agreed to by such parties to document such increase; it being understood and agreed that the Administrative Agent or any Purchaser increasing its Commitment pursuant to this clause (g) may request any of (x) resolutions of...
Increases in Commitments. Section 2.19(a) of the Existing Credit Agreement is amended by replacing it in its entirety with the following:
(a) Subject to the terms and conditions of this Agreement, on and from the Amendment No. 4 Closing Date, the Borrower may by delivering to the Administrative Agent and the Lenders a Notice of Revolving Increase in the form of Exhibit E, request increases to the Lenders’ Commitments (each such request, an “Optional Increase”); provided that: (i) the Borrower may not request any increase to the Commitments after the occurrence and during the continuance of a Default; (ii) each Optional Increase shall be in a minimum amount of $50,000,000 and (iii) the aggregate amount of all Optional Increases shall be no more than $250,000,000.”
Increases in Commitments. Section 2.19(a) of the Existing Credit Agreement is amended and restated by replacing the reference to “$100,000,000” where it appears therein with “$250,000,000”.
Increases in Commitments. (a) So long as (x) no Default exists or would result after giving effect to the making of the Incremental Term Loans or Incremental Revolving Loans referred to below and the use of proceeds therefrom and (y) after giving effect to the making of the Incremental Term Loans or Incremental Revolving Loans referred to below and the use of proceeds therefrom, the Borrower would be in compliance with the financial covenants set forth in Section 8.11 (Financial Covenants) on a Pro Forma Basis as of such date and as of the last day of the most recent fiscal quarter for which financial statements have been delivered in accordance with Section 7.01(a) or (b) (Financial Statements), then upon written notice to the Administrative Agents, the Borrower may from time to time request (i) additional term loans (the "Incremental Term Loans" and the related commitments, the "Incremental Term Loan Commitments") in an aggregate principal amount not to exceed $100,000,000; provided, that any such increase shall be in an aggregate amount of $50,000,000 or any whole multiple of $1,000,000 in excess thereof, and (ii) additional revolving loans (the "Incremental Revolving Loans" and the related commitments, the "Incremental Revolving Credit Commitments") in an aggregate principal amount not to exceed $100,000,000; provided, that any such increase shall be in an aggregate amount of $10,000,000 or any whole multiple of $1,000,000 in excess thereof; provided, further, that (I) the aggregate amount of Incremental Term Loan Loans and Incremental Revolving Loans (and the respective related commitments) which may be provided hereunder shall not exceed $100,000,000 and (II) any existing Lender that may be requested to provide all or a portion of any Incremental Term Loans and related commitments or any Incremental Revolving Loans and related commitments may elect or decline, in its sole discretion, to provide any such loans and commitments. The Incremental Term Loans (A) shall rank pari passu in right of payment and right of security in respect of the Collateral with the Term Loans and (B) other than amortization, pricing and maturity date, shall have the same terms as the Term Loans existing immediately prior to the effectiveness of the amendment creating such Incremental Term Loans; provided, however, that (x) if the interest rate spreads relating to such new Incremental Term Loans exceed the Applicable Margin at any pricing level for the Term Loans (including any upfront fees or original...
Increases in Commitments. 2.1 Commencing as of the Proceeds Receipt Date (as hereinafter defined), the Commitment of each of the Banks shall be increased from the amounts set forth, with respect to each Bank, on the signature pages of the Loan Agreement to the respective amounts set forth opposite the name of each of the Banks on Schedule A annexed hereto and the Temporary Commitment shall be increased from Five Million ($5,000,000) Dollars to Ten Million ($10,000,000) Dollars.
2.2 In order to evidence the Loans made by each of the Banks under the Commitments as amended hereby, the Borrowers shall execute and deliver to each of the Banks a new note substantially in the form attached to the Loan Agreement as Exhibit B-1, reflecting the Commitment of each Bank respectively as amended hereby, dated the Proceeds Receipt Date and otherwise duly completed (collectively, all of the above-described promissory notes are defined as the "New Bank Notes"). In order to evidence the Temporary Loans by the Temporary Lender under the Temporary Commitment as amended hereby, the Borrowers shall execute and deliver to the Temporary Lender a new note substantially in the form attached to the Loan Agreement as Exhibit B-2 reflecting the Temporary Commitment amount as amended hereby, dated the Proceeds Receipt Date and otherwise duly completed (hereinafter, the "New Temporary Note" and together with the New Bank Notes, collectively, the "New Notes"). Upon execution and delivery by the Borrowers of the New Notes, the Agent shall cause each of the Notes being replaced by a New Note to be marked "Replaced by New Note", and returned to the Borrowers.
2.3 All references in the Loan Agreement, Loan Documents and all other instruments, documents and agreements executed and delivered pursuant to any of the foregoing, to "the ratable benefit of the Banks", "pro rata", or terms of similar effect shall be deemed to refer to the ratable interests of the Banks, as their respective pro rata interests shall be adjusted to reflect the --- ---- increase in the Commitments of each of the Banks as set forth on Schedule A annexed hereto.
2.4 In order to reflect the foregoing, if necessary, the Banks shall, as of the Proceeds Receipt Date, make appropriate adjustments among themselves in order that the amount of Loans outstanding to the Borrowers from each Bank under the Loan Agreement are in principal amounts, as of the Proceeds Receipt Date, which are in the same proportion to the outstanding principal amount of all Loans...
Increases in Commitments. The Borrower may, by notice to each Lender, request an increase in the Commitments (each such increase, an “Incremental Commitment”) by an aggregate amount (for all such requests) not exceeding $10,000,000.
Increases in Commitments. With effect from and including the Amendment Effective Date (as defined in Section 6 below), (i) each Person listed on the signature pages hereof which is not a party to the Agreement (a "New Bank") shall become a Bank party to the Agreement and (ii) the Commitment of each Bank listed on the signature pages hereof shall be the amount set forth opposite its name on the signature pages hereof, as such amount may be changed from time to time subsequent to the Amendment Effective Date pursuant to Section 2.09, 2.11 or 2.06(c) of the Credit Agreement. Any Bank whose Commitment is changed to zero shall upon such effectiveness cease to be a Bank party to the Agreement, and all accrued fees and other amounts payable under the Agreement for the account of such Bank shall be due and payable on such date; provided that the provisions of Section 8.03 and 9.03 of the Agreement shall continue to inure to the benefit of such Bank.
Increases in Commitments. Section 2.17 of the Credit Agreement is hereby deleted in its entirety and replaced with “Reserved.”:
1.04. Section 12.
Increases in Commitments. The Borrower may, by written notice to the Administrative Agent, executed by the Borrower and one or more financial institutions, which may include one or more existing Lenders (each such financial institution being called a "Prospective Lender"), cause Commitments to be extended by the Prospective Lenders (or cause the Commitments of the Prospective Lenders to be increased, as the case may be), in an amount for each Prospective Lender set forth in such notice, provided, however, that (a) each such extension or increase shall be effected ratably with a corresponding extension or increase in the Commitments (as defined in the Five-Year Credit Agreement), (b) immediately after giving effect to each such extension or increase, the sum of the aggregate amount of all such extensions and increases plus the aggregate amount of all corresponding extensions and increases under the Five-Year Credit Agreement shall in no event exceed $50,000,000, (c) each such extension or increase shall be in an aggregate amount that is an integral multiple of $5,000,000 and not less than $10,000,000, (d) the Commitments shall in no event be extended or increased under this Section on more than four (4) occasions, (e) each Prospective Lender, if not already a Lender hereunder, shall be subject to the approval of the Administrative Agent (which approval shall not be unreasonably withheld) and (f) each Prospective Lender, if not already a Lender hereunder, shall become a party to this Agreement by completing and delivering to the Administrative Agent
Increases in Commitments. The Borrower may at any time request an increase in the Facilities to a maximum of $125,000,000, subject to approval of Lenders. Any such increase in the Commitments shall be offered to the Lenders on a pro rata basis according to each Lender's existing Commitment. Each Lender will be responsible for reaching an independent decision on the proposed increase and each Lender must provide a written response to the Administrative Agent within fifteen (15) business days of the Borrower's request. In the event that the aggregate amount of the Commitments received from the existing Lenders is less than the requested increase, the Administrative Agent shall first offer the Lenders increasing their Commitments the right to further increase their Commitments. In the event that the Facilities are not increased to $125,000,000 by increases in the Commitments of the Lenders, the Borrower may offer any remaining commitment availability to a new Lender or Lenders, such Lender or Lenders to be acceptable to the Borrower and the Administrative Agent. Such new Lenders must become Lender under the Credit Agreement and shall have all of the rights and obligations of a Lender under the Loan Documents to have the same extent as if it were an original party thereto. In no event shall any of the Lenders be required to consent to a request of the Borrower to increase its Revolving Credit Commitments or obligations under the Credit Agreement.