Lc Facility Clause Samples
The LC Facility clause defines the terms under which a Letter of Credit (LC) facility is made available to a party, typically in a commercial or financial agreement. It outlines the conditions for issuing, drawing upon, and repaying amounts under the LC, as well as any fees, limits, or security requirements associated with its use. For example, it may specify the maximum amount available under the facility and the process for requesting an LC from the issuing bank. The core function of this clause is to provide a structured mechanism for facilitating secure payments or guarantees in transactions, thereby reducing credit risk and ensuring payment obligations are met.
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Lc Facility. Subject to the terms and conditions of this Agreement, the LC Lender hereby establishes in favour of the Borrowers as of the Effective Date a revolving credit facility (the “LC Facility”) in an amount not to exceed the LC Facility Amount.
Lc Facility. The Borrower shall repay to the Administrative Agent for the ratable account of the LC Facility Lenders on the LC Facility Termination Date the aggregate principal amount of the LC Facility Advances and all LC Facility Unreimbursed Amount Borrowings then outstanding.
Lc Facility. The LC Issuer agrees to establish the LC Facility for the benefit of the Borrowers, it being acknowledged and agreed that the Tranche A Lenders and the Tranche B Lenders shall participate in each LC Issuance in accordance with this Agreement. Subject to Section 2.13, all Tranche A Loans and Tranche B Loans shall be subject to identical treatment under this Agreement and the other Loan Documents (including as to maturity, interest, security, repayment, prepayment and voting rights) and shall possess the same attributes to the fullest extent permitted under Applicable Law. For the avoidance of doubt, the Security Interests granted pursuant to the Security Documents shall secure all Tranche A Loans and Tranche B Loans on a pari passu basis.
Lc Facility. The “Closing Date” under and as defined in the LC Facility Credit Agreement shall have occurred.
Lc Facility. (a) Upon the terms and subject to the conditions herein set forth, the Lenders severally agree to make a letter of credit facility available to the Borrower by, from time to time prior to the Maturity Date, having the Issuing Lender issue one or more Tranche B Letters of Credit for the account of the Borrower, provided that the aggregate face amount of all Tranche B Letters of Credit outstanding hereunder shall not at any time exceed the lesser of (i) 80% of the appraised orderly liquidation value of the Borrower's Equipment, and (ii) the LC Commitment. No Tranche B Letter of Credit shall have an expiration date that is later than the Maturity Date.
(b) If at any time the test of Section 2.3(a) above is not met as shown by an appraisal, the Agent shall provide written notice thereof to the Borrower (attaching thereto a copy of the appraisal) and the Borrower shall, within ten (10) Business Days of receiving such notice, provide to the Agent sufficient additional collateral in form and substance satisfactory to the Agent as shall be necessary to insure that the test of Section 2.3(a) above is satisfied. The cure period listed above shall start running on the date the test of Section 2.3(a) above is not met.
(c) The Borrower may reduce the LC Commitment in integral multiples of USD 1,000,000 upon five (5) days' prior written notice to the Agent; provided that after giving effect to any such reduction the aggregate face amount of all outstanding Tranche B Letters of Credit does not exceed the Adjusted Commitment. No subsequent increase of the LC Commitment shall be allowed.
Lc Facility. (a) The LC Commitment.
(i) Subject to the terms and conditions set out in this Agreement, Lender agrees, (A) from time to time on any Business Day during the period beginning April 15, 2012, until the Revolving Credit Termination Date, to issue LCs for the account of Borrower, and to amend or renew LCs previously issued by it, in accordance with subsection (b) below, and (B) to honor drafts under the LCs; provided that, Lender shall not be obligated to make any LC Credit Extension with respect to any LC, if, as of the date of and after giving effect to, such LC Credit Extension, the Revolving Credit Exposure would exceed the Revolving Credit Limit. Within the foregoing limits, and subject to the terms and conditions hereof, Borrower’s ability to obtain LCs shall be fully revolving, and accordingly Borrower may, prior to the LC Termination Date, obtain LCs to replace LCs that have expired or that have been drawn upon and reimbursed.
(ii) Lender shall be under no obligation to issue any LC if:
(A) the expiry date of such requested LC would occur after the Revolving Credit Termination Date, unless Lender has approved such expiry date;
(B) the issuance of such LC would violate one or more policies of Lender; or
(C) it is denominated in a currency other than Dollars.
(iii) Lender shall be under no obligation to amend any LC if (A) Lender would have no obligation at such time to issue such LC in its amended form under the terms of this Agreement, or (B) the beneficiary of such LC does not accept the proposed amendment to such LC.
Lc Facility. ▇▇▇▇▇ Ventures, L.P., LJH Corporation, ▇▇▇▇▇▇ ▇▇▇▇▇▇, ▇▇▇ ▇▇▇▇▇▇▇ or their designees shall have entered into a credit enhancement facility with ▇▇▇▇▇▇▇▇▇ pursuant to which such persons shall make available to the lenders under the ▇▇▇▇▇▇▇▇▇ Credit Facility $8,000,000 in direct pay letters of credit as a credit enhancement to the ▇▇▇▇▇▇▇▇▇ Credit Facility containing the terms summarized on Exhibit R attached hereto and such other terms as ▇▇▇▇▇▇▇▇▇ and the lenders under the ▇▇▇▇▇▇▇▇▇ Credit Facility may require.
Lc Facility. 15 2.4 Counter Indemnity........................................ 15 2.5 Drawings Under Letters of Credit......................... 15 2.6 Variations............................................... 15 2.7 Security................................................. 16 2.8 Certificates............................................. 16
Lc Facility. Issuance of Letters of Credit . Subject to all of the terms and conditions hereof, Issuing Bank agrees to establish the LC Facility pursuant to which, during the period from the date hereof to (but excluding) the 30th day prior to the last day of the Term, Issuing Bank shall issue one or more Letters of Credit on any Borrower's request therefor from time to time, subject to the following terms and conditions:
Lc Facility. Jame▇ ▇▇▇tures, L.P., LJH Corporation, Robe▇▇ ▇▇▇▇▇▇, ▇▇n ▇▇▇▇▇▇▇ ▇▇ their designees shall have entered into a credit enhancement facility with Kell▇▇▇▇▇ ▇▇▇suant to which such persons shall make available to the lenders under the Kell▇▇▇▇▇ ▇▇▇dit Facility $8,000,000 in direct pay letters of credit as a credit enhancement to the Kell▇▇▇▇▇ ▇▇▇dit Facility containing the terms summarized on EXHIBIT R attached hereto and such other terms as Kell▇▇▇▇▇ ▇▇▇ the lenders under the Kell▇▇▇▇▇ ▇▇▇dit Facility may require.