Wet Borrowings Clause Samples
The 'Wet Borrowings' clause defines the terms under which a borrower can access loan funds immediately upon closing, rather than waiting for certain post-closing conditions to be met. In practice, this means that the lender disburses the loan proceeds at the time of closing, often before all documentation or collateral requirements are fully satisfied. This clause is particularly useful in transactions where immediate funding is necessary, such as real estate closings or time-sensitive acquisitions, and it addresses the need for prompt access to capital while balancing the lender's risk through subsequent compliance requirements.
Wet Borrowings. The conditions and procedures of Section 2.2 and Section 2.3 apply to Wet Borrowings, except as follows:
Wet Borrowings. The Borrower may from time to time request that certain Borrowings be funded prior to the delivery to the Collateral Agent of the corresponding Principal Mortgage Documents (individually, a "Wet Borrowing"; collectively, "Wet Borrowings"). Advances in respect of Wet Borrowings shall be made in accordance with Section 2.3(a), subject to the terms and conditions of this Agreement, including, without limitation, the following additional terms and conditions:
Wet Borrowings. (a) Pursuant to the Loan Agreement, the Borrower may from time to time request that certain Borrowings be funded after delivery to the Collateral Agent of the related Assignment, but prior to the delivery to the Collateral Agent of the corresponding Principal Mortgage Documents (individually a "Wet Borrowing"; collectively "Wet Borrowings"). The Borrower and the Administrative Agent acknowledge that Advances in respect of Wet Borrowings are subject to various terms and conditions of the Loan Agreement, including those set forth in Section 2.3(c) to the Loan Agreement.
Wet Borrowings. With respect to each HELOC as to which a Wet Borrowing is made, Borrowers confirm their grant under this Agreement of Lender Liens as of the Borrowing Date thereof.
Wet Borrowings. 17 2.5 Terminations ..............................................18
Wet Borrowings. The conditions and procedures of SECTIONS 2.2 and 2.3 apply to Wet Borrowings except as follows: A Wet Borrowing may be funded before delivery to Administrative Agent of all of the required Collateral Documents for the Pledged Loans supporting that Wet Borrowing. The Collateral-Delivery Notice delivered to Administrative Agent for a Wet Borrowing may be sent to Administrative Agent by fax but must identify and describe each Pledged Loan that supports that Wet Borrowing and the amount of the Borrowing Base applicable to it. By delivering the Collateral-Delivery Notice, Borrower confirms the grant and conveyance of Lender Liens (from the Borrowing Date for each Wet Borrowing) on each Collateral Document offered as Collateral in that Collateral-Delivery Notice that is perfected subject to the delivery of the related promissory notes for those Pledged Loans to Administrative Agent or its bailee.