Subordination Requests Sample Clauses
A Subordination Requests clause establishes the conditions under which a party agrees to subordinate its rights or claims, typically in relation to debt or security interests, to those of another party. In practice, this clause outlines the process for making and responding to requests for subordination, specifying any required documentation or approvals. Its core function is to clarify the priority of claims among creditors or stakeholders, thereby reducing the risk of disputes and ensuring orderly repayment or enforcement in the event of default or insolvency.
Subordination Requests. With respect to any Second Lien Loan, the Servicer shall submit to the Owner, within three Business Days of receipt by the Servicer, all proposed subordination agreements with respect to related Mortgagor’s refinancing first lien loan. The Servicer shall not enter into any such subordination agreement without the prior written consent of the Owner. The Owner shall, within five Business Days of its receipt of a proposed subordination agreement, (a) execute and deliver a proposed subordination agreement, or (b) return the proposed subordination agreement unsigned with written instructions to the Servicer.