Common use of Warrant Coverage Amount Clause in Contracts

Warrant Coverage Amount. The term “Warrant Coverage Amount” means that amount which equals twenty percent (20%) of the original principal amount of the Note. In the event that the Company does not pay outstanding principal and accrued interest within ten (10) days after demand made by the Investor made after the first anniversary of the Initial Closing, the Warrant Coverage Amount shall mean the amount which equals twenty-five percent (25)% of the original principal amount of the Note.