Common use of No Dividend Restrictions Clause in Contracts

No Dividend Restrictions. The Borrower shall not permit any of its Subsidiaries to enter into any agreement or otherwise create or cause or permit to exist or become effective any consensual restriction limiting the ability (whether by covenant, event of default or otherwise) of such Subsidiary to (i) pay dividends or make any other distributions on shares of such Subsidiary’s capital stock held by the Borrower or any other Subsidiary of the Borrower or (ii) pay any other obligation owed to the Borrower or any other Subsidiary of the Borrower, provided, however, that this clause (ii) shall not apply to Permitted Restrictive Covenants.

No Dividend Restrictions. The Borrower shall not permit any of its Subsidiaries to enter into any agreement or otherwise create or cause or permit to exist or become effective any consensual restriction limiting the ability (whether by covenant, event of default or otherwise) of such Subsidiary to (i) pay dividends or make any other distributions on shares of such Subsidiary’s capital stock held by the Borrower or any other Subsidiary of the Borrower or (ii) pay any other obligation owed to the Borrower or any other Subsidiary of the Borrower, provided, however, that this clause (ii) shall not apply to Permitted Restrictive Covenants.

No Dividend Restrictions. The Borrower shall not permit any of its Subsidiaries to enter into any agreement or otherwise create or cause or permit to exist or become effective any consensual restriction limiting the ability (whether by covenant, event of default or otherwise) of such Subsidiary to (i) pay dividends or make any other distributions on shares of such Subsidiary’s capital stock held by the Borrower or any other Subsidiary of the Borrower or (ii) pay any other obligation owed to the Borrower or any other Subsidiary of the Borrower, providedprovided , howeverhowever , that this clause (ii) shall not apply to Permitted Restrictive Covenants. Agreement other than Swap Agreements pursuant to which the Borrower or such Subsidiary has hedged its reasonably estimated interest rate, foreign currency or commodity exposure, and not for speculative purposes.