Ranking; Subordination Clause Samples
The 'Ranking; Subordination' clause defines the order of priority among different debts or obligations, specifying which claims are to be paid first in the event of insolvency or liquidation. In practice, this clause may state that certain loans or securities are subordinate to others, meaning they will only be repaid after senior obligations have been satisfied. This structure is crucial for managing risk among creditors and provides clarity on repayment hierarchy, ensuring all parties understand their position in the event of default or bankruptcy.
POPULAR SAMPLE Copied 2 times
Ranking; Subordination. For the avoidance of doubt, the Notes shall rank on a parity with all Securities of other series issued under the Base Indenture.
Ranking; Subordination. Notwithstanding anything to the contrary in this Agreement, the security interests granted herein to the Agent for the ratable benefit of the Agent and the Holders shall be junior and subordinate to the claims of the agent and the lenders under the Credit Agreement as provided in the Indenture. Furthermore, notwithstanding anything to the contrary in this Agreement, the Agent will not be able to exercise any rights or claims against the Membership Interests until and unless such party is permitted to do so pursuant to the Intercreditor Agreement, dated as of even date herewith, among LaSalle, as agent for the lenders under the Credit Agreement, Wilmington Trust Company, as trustee under the Indenture, on behalf of the Holders, the Company and the Guarantors. As provided in, and subject to the terms of, the Intercreditor Agreement, the Agent will follow any instructions given to it by the representative of the lenders under the Credit Agreement and, so long as amounts or commitments to lend remain outstanding under the Credit Agreement, the lenders under the Credit Agreement will make all determinations and decisions relating to the disposal of the Membership Interests.
Ranking; Subordination. Payment of principal of, premium, if any, and interest on the Securities is subordinated in the manner and to the extent set forth in the Indenture, in right of payment to the prior payment in full of all Secured Portfolio Debt. Payment of principal of, premium, if any, and interest on the Securities will rank pari passu in right of payment with all existing unsecured Funded Recourse Debt and senior in right of payment to all future unsecured Funded Recourse Debt of the Company.
Ranking; Subordination. For the avoidance of doubt, the Series A-1 Notes shall rank on a parity with all Securities of other series issued under the Base Indenture, as well as the CAP Obligations. Section 14.9 of the Base Indenture shall be deemed amended, solely for purposes of the Series A-1 Notes, by inserting the words “beyond any grace period” immediately following the words “In the event and during the continuation of any default” at the beginning thereof.
Ranking; Subordination. (a) The Note will rank on a parity with all existing and future debt and trade debt of the Company, except that it shall rank junior to any secured debt and junior to any debt issued hereafter that is denominated by the Company as senior to the Note. Notwithstanding Sections 5(a) through (d) below, the Holder hereby agrees to enter into any inter-creditor and/or subordination agreement among the Holder, the Company and any Senior Lender (as defined in Section 5(d), below), promptly upon the Company’s request, and if the Holder fails to do so, the Holder hereby appoints M▇. ▇▇▇▇▇▇ ▇▇▇▇▇▇▇, as his attorney-in-fact, coupled with an interest, to execute and deliver such agreement for and on behalf of the Holder, which agreement shall be a valid, legal and binding obligation of the Holder.
Ranking; Subordination. (a) The Notes rank pari passu in right of payment to all existing or future senior Indebtedness of the Company and rank senior to all of the Company’s existing and future subordinated Indebtedness. All Indebtedness, notes, claims and payments owed by the Company or any Guarantor to any Restricted Subsidiary of the Company shall be subordinated in right of payment to the Notes.
Ranking; Subordination. For the avoidance of doubt, the Debentures shall rank on a parity with all Securities of other series issued under the Base Indenture, as well as the CAP Obligations.
Ranking; Subordination. The Company, for itself, its successors and assigns, covenants and agrees, and the Holder likewise covenants and agrees by its acceptance of this Note, that the obligations of the Company to make any payment on account of the principal of and interest on this Note shall be subordinate and junior in right of payment and upon liquidation to the Company’s obligations to the holders of all Senior Debt of the Company now existing or hereinafter assumed.
Ranking; Subordination. The Note is subordinate to MPC’s obligations under its Account Purchase Agreement with ▇▇▇▇▇ Fargo Bank, National Association acting through its ▇▇▇▇▇ Fargo Business Credit operating division (a copy of which has been provided to Lender).
Ranking; Subordination. (a) The Note will rank on a parity with all existing and future debt and trade debt of the Company, except that it shall rank junior to any secured debt and junior to any debt issued hereafter that is denominated by the Company as senior to the Note. Notwithstanding Sections 5(a) through (d) below, the Holder hereby agrees to enter into any inter-creditor and/or subordination agreement among the Holder, the Company and any Senior Lender (as defined in Section 5(d), below), promptly upon the Company’s request.
(b) Notwithstanding: (i) the time, place, order of execution or recordation of this Note, (ii) any terms or provisions of this Note to the contrary, or (iii) any law, rule or regulation of any applicable governmental body to the contrary, the Holder and the Company hereby confirm and agree that: (A) this Note is hereby expressly made subject to and subordinate in priority to any future indebtedness of the Company that is denominated as senior in collection and/or payment to the Note (“Senior Debt”); (B) this Note shall be subject, and subordinate in payment, to the Senior Debt; and (C) the terms and provisions of this Note are expressly hereby made subject to and subordinate to the terms and provisions of the Senior Debt. Without limiting the foregoing, the Holder agrees that all rights of the Holder in this Note shall be expressly subject to and subordinate to the rights of any holder of Senior Debt.
(c) For so long as any Senior Debt is outstanding, the Holder of this Note shall not: (i) commence any action to enforce the terms and conditions of this Note, including upon an Event of Default, or the exercising of any other remedy or enforcement action against, or the taking of possession or control of any assets of the Company (an “Enforcement Action”); (ii) enforce or seek to enforce any judgment against the Company or any affiliate of the Company; (iii) modify, amend, supplement or restate this Note so as to increase the liabilities of the Company under this Note or to any extent acquire any Lien, estate, right or other interest in any asset of the Company prior to or equal to the Senior Debt; or (iv) directly or indirectly assign all or any part of his interest in this Note without the prior written consent of the Company and unless the assignee agrees in writing to be bound by the provisions of this Note.
(d) Until the Senior Debt is paid in full, the Holder shall not acquiesce, petition or otherwise invoke or cause any other Person to invoke a B...