Prepayment After Default Clause Samples
The "Prepayment After Default" clause defines the conditions under which a borrower may repay all or part of a loan after a default has occurred. Typically, this clause outlines whether prepayment is permitted following a default event, any penalties or fees that may apply, and the process for making such payments. For example, it may specify that the lender's consent is required or that prepayment will not waive the default. The core function of this clause is to clarify the rights and obligations of both parties regarding loan repayment after default, helping to manage risk and avoid disputes.
Prepayment After Default. If prepayment of the Principal Amount is made prior to the Balance Due Date or the maturity date of the last renewal of any fixed term loan secured by the Charge, then you agree to indemnify and save us harmless from all costs and losses resulting therefrom and to pay to us the amount determined in accordance with paragraph 10(b) above and we may also recover such amount from the proceeds of any sale of the Property or other proceedings for enforcement of the Charge;
Prepayment After Default. If we declare the Principal Amount, or balance of the Mortgage payable upon the occurrence of an event of Default and the balance declared due is paid prior to the Balance Due Date or the Maturity Date of the last renewal, you agree to compensate us, in lieu of providing us with three (3) months’ notice, by paying to us an amount equal to three (3) months’ interest at the then current Variable Interest Rate calculated on the outstanding Variable Rate Debt, or Fixed Interest Rate calculated on the outstanding Fixed Rate Debt, as the case may be.
Prepayment After Default. If following the occurrence of any Event of Default under this Mortgage and an exercise by the Lender of its option to declare the whole of the Indebtedness due and payable, the Company shall tender payment of an amount sufficient to satisfy the entire Indebtedness secured hereby at any time prior to a foreclosure sale of the Mortgaged Property, and if at the time of such tender prepayment of the principal balance of the Note is prohibited, the Company shall, in addition to the said entire principal, also pay to the Lender a sum equal to the interest which would have accrued on the principal balance of the Note at the Default Rate from the date of such tender to the end of the period during which prepaying is prohibited. If at the time of such tender, prepayment of the Note is permitted, such tender by Company shall be deemed to be a voluntary prepayment of the said principal balance of the Note, and the Company shall, in addition to the said entire principal, also pay to the Lender the applicable prepayment premium, if any, specified in the Note. All such payments shall also be accompanied by payment of all accrued interest under the Note.
Prepayment After Default. If following the occurrence of any default under this mortgage and an exercise by Mortgagee of its option to declare the Debt immediately due, Mortgagor shall tender payment of an amount sufficient to satisfy the entire Debt at any time prior to a sale of the Mortgaged Property any such payment shall be accepted by Mortgagee only if such payment is permitted at such time under the provisions of the Credit Agreement.