No Borrower Clause Samples
The "No Borrower" clause establishes that no party to the agreement is considered a borrower under its terms. In practice, this means that none of the signatories are taking on debt or loan obligations as part of the contract, and the agreement does not create a lender-borrower relationship. This clause is used to clarify the nature of the parties' relationship and to prevent any misunderstanding or mischaracterization of the agreement as a loan, thereby ensuring clarity and avoiding unintended legal or financial obligations.
No Borrower nor any Subsidiary of a Borrower shall, at any time, incur, create, assume or permit to exist, any Lien on any of its property or assets, tangible or intangible, now or hereafter owned, or agree to become liable to do so, except:
No Borrower any Subsidiary of any Borrower, or, to the knowledge of any Borrower, any Affiliate, or any director, officer, employee or agent of any Borrower or any of its Subsidiaries is a Sanctioned Person.
No Borrower is In Default or if a Borrower is In Default, the facts and circumstances thereof and the steps (if any) being taken to remedy such condition.
(g) If, at any time or from time to time, any Borrower is In Default:
(i) The Administrative Agent may suspend the Revolving Credit immediately, in which event, neither the Administrative Agent nor any Revolving Credit Lender shall be obligated, during such suspension, to make any loans or advance, or to provide any financial accommodation hereunder or to seek the issuance of any L/C.
(ii) The Administrative Agent may suspend the right of the Lead Borrower to request any Eurodollar Loan or to convert any Base Margin Loan to a Eurodollar Loan.
No Borrower. Affiliate of a Borrower or any officer of a Borrower or an Affiliate of a Borrower, shall (i) engage in the Business except through a Borrower or another Credit or (ii) acquire or obtain any direct or indirect economic interest in any Person that engages in the Business excepting only the acquisition of equity or debt securities of any other Person that engages in the Business in an aggregate amount of not more than 1.00% of the issued outstanding equity of such Person.
No Borrower or Subsidiary of a Borrower will use the proceeds of any Loan, directly or indirectly, to purchase any “margin stock” (within the meaning of Regulations U, G, T or X of the Board of Governors of the Federal Reserve System) or to extend credit to others for the purpose of purchasing or carrying, directly or indirectly, any margin stock.
No Borrower. (i) is legally responsible for any release or threat of release of any Hazardous Material or (ii) has received notification of the incurrence of any expense in connection with the assessment, containment, or removal of any Hazardous Material for which that Borrower would be responsible, except where such release or threat of release or incurrence of such expense could not reasonably be expected to result in a liability in excess of $5,000,000.
No Borrower. (i) is or will become a Person or entity described by section 1 of Executive Order 13224 of September 24, 2001 Blocking Property and Prohibiting Transactions With Persons Who Commit, Threaten to Commit, or Support Terrorism (12 C.F.R. 595), and no Borrower engages in dealings or transactions with any such Persons or entities; or
(ii) is in violation of the Patriot Act.
No Borrower no Person Controlling a Borrower, nor any Subsidiary (i) is a "holding company," or a "subsidiary company" of a "holding company," or an "affiliate" of a "holding company" or of a "subsidiary company" of a "holding company," within the meaning of the Public Utility Holding Company Act of 1935, or (ii) is or is required to be registered as an "investment company" under the Investment Company Act of 1940.
No Borrower. Group Member has received written notice and, except as previously disclosed to the Agent in writing, the Borrower has no Knowledge, of any facts which could give rise to any notice of non-compliance with any Environmental Laws, which...