Common use of Primary Obligor Clause in Contracts

Primary Obligor. While upon the earlier of a Ribapharm IPO or a Ribapharm Spin-Off, Ribapharm will become a joint and several obligor of the Notes, as between ICN and Ribapharm, ICN and Ribapharm agree that ICN shall be responsible for all payments of principal, premium, if any, interest and any other payments under the Notes, including Ribapharm's obligation to make an offer to repurchase the Notes upon a Change in Control of Ribapharm or ICN. In the event Ribapharm makes any such payments under the Notes for any reason, ICN shall promptly reimburse Ribapharm for these payments. Notwithstanding the foregoing, Ribapharm shall be responsible for the payment of liquidated damages pursuant to Section 5 of the Registration Rights Agreement caused by Ribapharm's failure to comply with its obligations to file and maintain an effective Registration Statement.