Intercompany Subordinated Debt Sample Clauses
The Intercompany Subordinated Debt clause establishes that any debt owed by a company to its affiliates or related entities is ranked lower in priority compared to other external debts. In practice, this means that if the company faces insolvency or liquidation, repayment of intercompany loans or advances will only occur after all senior and external creditors have been satisfied. This clause is essential for protecting the interests of third-party lenders by ensuring that related-party claims do not compete with or undermine the repayment of external obligations.
Intercompany Subordinated Debt. There is no Intercompany ------------------------------ Subordinated Debt other than the Indebtedness described in Exhibit A (as --------- supplemented from time to time) to the Intercompany Subordinated Debt Agreement.
Intercompany Subordinated Debt. Section 7.4 of the Credit Agreement is hereby amended by the deletion of the word "and" at the end of clause (d), the numbering of clause (e) as clause (f) and the insertion of the following as new clause (e):
Intercompany Subordinated Debt. (a) Borrower Representative has furnished Agent a true, correct and complete copy of each of the Intercompany Subordinated Debt Documents. No statement or representation made in any of the Intercompany Subordinated Debt Documents by any Borrower or any other Loan Party or, to any Borrower Representative’s knowledge, any other Person, contains any untrue statement of a material fact or omits to state any material fact required to be stated therein or necessary in order to make the statements made therein, in light of the circumstances under which they are made, not misleading in any material respect as of the time that such statement or representation is made. Each of the representations and warranties of the Loan Parties set forth in each of the Intercompany Subordinated Debt Documents are true and correct in all respects. No portion of the Intercompany Subordinated Debt is, or at any time shall be, (i) secured by any assets of any of the Loan Parties or any other Person or any equity issued by any of the Loan Parties or any other Person or (ii) Guaranteed by any Person.
(b) The provisions of the Intercompany Subordinated Debt Subordination Agreement are enforceable against each holder of the Intercompany Subordinated Debt. Each Borrower and each other Loan Party Obligor acknowledges that Agent is entering into this Agreement and extending credit and making the Loans in reliance upon the Intercompany Subordinated Debt Subordination Agreement and this Section 7.23. All Obligations constitute senior Indebtedness entitled to the benefits of the subordination provisions contained in the Intercompany Subordinated Debt Documents.
Intercompany Subordinated Debt. (a) Borrower Representative has furnished Agent a true, correct and complete copy of each of the Intercompany Subordinated Debt Documents and the Alimco Subordinated Debt Documents. No statement or representation made in any of the Intercompany Subordinated Debt Documents or the Alimco Subordinated Debt Documents by any Borrower or, any other Loan Party, or Parent, or, to any Borrower Representative’s knowledge, any other Person, contains any untrue statement of a material fact or omits to state any material fact required to be stated therein or necessary in order to make the statements made therein, in light of the circumstances under which they are made, not misleading in any material respect as of the time that such statement or representation is made. Each of the representations and warranties of the Loan Parties and Parent set forth in each of the Intercompany Subordinated Debt Documents and the Alimco Subordinated Debt Documents are true and correct in all respects. No portion of the Intercompany Subordinated Debt is, or at any time shall be, (i) secured by any assets of any of the Loan Parties, Parent, or any other Person or any equity issued by any of the Loan Parties, Parent, or any other Person or (ii) Guaranteed by any Person. Except as expressly permitted in the Alimco Subordinated Debt Subordination Agreement, no portion of the Alimco Subordinated Debt is, or at any time shall be, (i) secured by any assets of any of the Loan Parties or any other Person or any equity issued by any of the Loan Parties, Parent, or any other Person or (ii) Guaranteed by any Person.
(b) The provisions of the Intercompany Subordinated Debt Subordination Agreement are enforceable against each holder of the Intercompany Subordinated Debt. Each Borrower and, each other Loan Party Obligor, and Parent acknowledges that Agent is entering into this Agreement and extending credit and making the Loans in reliance upon the Intercompany Subordinated Debt Subordination Agreement, the Alimco Subordinated Debt Subordination Agreement and this Section 7.23. All Obligations constitute senior Indebtedness entitled to the benefits of the subordination provisions contained in the Intercompany Subordinated Debt Documents and the Alimco Subordinated Debt Documents.
Intercompany Subordinated Debt. As of the date hereof, there is no Intercompany Subordinated Debt other than the Indebtedness evidenced by the Intercompany Subordinated Notes from the Borrower to the Parent, a copy of which has been delivered to the Administrative Agent pursuant to Section 6. 1 (a).
Intercompany Subordinated Debt the Borrower shall ensure that the Intercompany Subordinated Debt is at all times held by the Trust (provided that the Trust may sell, assign or transfer all or any portion of its interest in any Intercompany Subordinated Debt to one or more of the Designated Subsidiaries, whereupon such Intercompany Subordinated Debt so sold, assigned or transferred shall cease to constitute Intercompany Subordinated Debt hereunder and shall no longer be subject to the postponement and subordination provided for in the Subordination Agreement);