Lenders’ Default Sample Clauses
The Lenders’ Default clause defines the circumstances under which a lender is considered to be in breach of its obligations under a financing agreement. Typically, this clause outlines specific actions or failures—such as not providing committed funds or violating key terms—that would constitute a default by the lender. For example, if a lender fails to disburse a loan installment as agreed, this clause would specify the consequences and remedies available to the borrower. Its core practical function is to protect the borrower by ensuring there are clear consequences and recourse if the lender does not fulfill its contractual commitments.
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Lenders’ Default. In the event of any default of the Loan Documents by any Lender or any claim by any Borrower related to the Loan Documents, the Borrowers’ sole and exclusive remedy against such Lender shall be a cause of action sounding in contract with damages limited to actual and direct damages incurred. No Lender shall in any event be liable to any Borrower or the Guarantor for ordinary negligence, delay in performance or any consequential, special, punitive, incidental or indirect damages, including without limitation, loss of profit or goodwill. No Lender shall in any event be liable to any Borrower or the Guarantor for any loss or damage directly or indirectly resulting from the furnishing of services or reports under this Agreement. With respect to any goods and services provided by any Lender, SUCH LENDER MAKES NO WARRANTIES, whether expressed or implied, including, without limitation, IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE, to any Borrower or the Guarantor. No Borrower shall have any cause of action against any Lender for a default of the Loan Documents unless the Borrowers first notify such Lender of the default and allow such Lender a reasonable time of at least thirty (30) Business Days to cure the default and such Lender fails to cure the default.
Lenders’ Default. In the event of any default of the Loan Documents by Lender or any claim by Borrower related to the Loan Documents, Borrower's sole and exclusive remedy against Lender shall be a cause of action sounding in contract with damages limited to actual and direct damages incurred. Lender shall in no event be liable for ordinary negligence, delay in performance or any consequential, special, punitive, incidental or indirect damages, including without limitation, loss of profit or goodwill. Lender shall in no event be liable for any loss or damage directly or indirectly resulting from the furnishing of services or reports under this Agreement. With respect to any goods and services provided by Lender, LENDER MAKES NO warranties, whether expressed or implied, including, without limitation, implied WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE. Borrower shall have no cause of action against Lender for a default of the Loan Documents unless Borrower first notices Lender of the default and allows Lender a reasonable time of at least thirty (30) Business Days to cure the default and Lender fails to cure the default.
Lenders’ Default. In the event of any default of the Loan Documents by Lenders or any claim by Borrower related to the Loan Documents, the Borrower’s sole and exclusive remedy against Lenders shall be a cause of action sounding in contract with damages limited to actual and direct damages incurred. Lenders shall not in any event be liable to Borrower or Guarantor for ordinary negligence, delay in performance or any consequential, special, punitive, incidental or indirect damages, including without limitation, loss of profit or goodwill. Lenders shall in no event be liable to Borrower or Guarantor for any loss or damage directly or indirectly resulting from the furnishing of services or reports under this Agreement. With respect to any goods and services provided by Lenders, LENDER MAKES NO WARRANTIES, WHETHER EXPRESSED OR IMPLIED, INCLUDING, WITHOUT LIMITATION, IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE, TO BORROWER OR ANY GUARANTOR.
Lenders’ Default. 20.14.1 Any Lender failing to advance any funds as required in this Agreement shall constitute a "Defaulting Lender." Upon the failure of a Defaulting Lender to advance any funds as required in this Agreement (the "Defaulted Advance"), the other Lenders (collectively, the "Non-Defaulting Lenders"), or any of them, may, but shall not be obligated to, make such Defaulted Advance on behalf of the Defaulting Lender, which shall in no way relieve the Defaulting Lender from its obligation to deposit its share of Advances on the Loan as provided above. In such event, the Defaulting Lender shall immediately be obligated to repay the Defaulted Advance to the Non-Defaulting Lenders making such Defaulted Advance, together with accrued interest thereon from the date of such funding until repaid to such Non-Defaulting Lenders as provided in Section 20.3.3 above.
20.14.2 Until such time as such Defaulting Lender has funded its portion of such Advance, such Defaulting Lender shall have no right to vote regarding any issue on which voting is required or advisable under this Agreement or any other Loan Document (and the Loan Percentages of the Non-Defaulting Lenders shall be grossed up on a pro rata basis to reflect the suspension of the Defaulting Lender).
20.14.3 If a Defaulting Lender fails to advance any funds as required in this Agreement and such Non-Defaulting Lenders advance funds on the Defaulting Lender's behalf, until full repayment of the foregoing amount, Agent shall pay to such Non-Defaulting Lenders for application on account of the Defaulting Lender's obligation to repay the amounts advanced by such Non-Defaulting Lenders, any sums, collections or recoveries otherwise payable to the Defaulting Lender.
Lenders’ Default. In the event of any default of the Loan Documents by Lender or any claim by Borrower related to the Loan Documents, Borrower's sole and exclusive remedy against Lender shall be a cause of action sounding in contract with damages limited to actual and direct damages incurred. Lender shall in no event be liable for ordinary negligence, delay in performance or any consequential, special, punitive, incidental or indirect damages, including without limitation, loss of profit or goodwill. Lender shall in no event be liable for any loss or damage directly or indirectly resulting from the furnishing of services or reports under this Agreement. With respect to any goods and services provided by Lender, LENDER MAKES NO WARRANTIES, whether expressed or implied, including, without limitation, IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A
Lenders’ Default. In the event of any default of the Loan Documents by Lender or any claim by Borrower related to the Loan Documents, Borrower's sole and exclusive remedy against Lender shall be a cause of action sounding in contract with damages limited to actual and direct damages incurred. Lender shall in no event be liable for ordinary negligence, delay in performance or any consequential, special, punitive, incidental or indirect damages, including without limitation, loss of profit or goodwill. Lender shall in no event be liable for any loss or damage directly or indirectly resulting from the furnishing of services or reports under this Agreement. With respect to any goods and services provided by 14
Lenders’ Default. Finally, within the “commitments” clause, another aspect that is usually contemplated is that of a possible default of the lenders under the facility. In general, if a default occurs (e.g., failure to provide the funds), until such lender is no longer in default, the defaulting lender will not be allowed to approve or disapprove any amendment, waiver or consent with respect to the agreement. Additionally, a waterfall provision (which addresses the priority of payments) will be included to address payment received by the administrative agent (the bank responsible for administering the loan and acting as agent for all involved banks) for the account of the defaulting lender and establishing how the funds will be distributed. Funds would most likely be applied, first, to the payment of any amounts owed by such defaulting lender to the administrative agent, and second to the payment, on a pro rata basis, of any amounts owed by such defaulting lender to any swing line lender within the facility. The waterfall provision on priority may cover other aspects, depending on the complexity of the facility until reaching the revolving loans. Finally, if there are any excess, funds will be paid to such defaulting lender or as otherwise directed by a competent court. In other words, in the waterfall provision, the defaulting lender will be placed last in the queue. Last but not least, the commitments made by each lender pursuant to a syndicated loan agreement will be construed as unique or exclusive provision of the loan only applicable to each specific lender, and the other lenders are generally not obliged to cure the default of another lender if that lender fails to disburse the entire commitment to the borrower.
Lenders’ Default. The failure of the Lender to make any timely advance as provided for in this Loan Agreement (TF) and other Loan Documents (TF) shall constitute an Event of Default on the Lender’s part. In the event of such a default, all rights of the Lender under the TF Management Agreement shall be terminated, unless the Lender cures such default within ten (10) business days.
Lenders’ Default. 97 20.15 PERFORMANCE THROUGH REPRESENTATIVES.................................. 98
Lenders’ Default. 88 20.15 Performance Through Representatives........................................................... 89 20.16