Back-to-Back LC definition

Back-to-Back LC means an LC (also known as the "secondary credit" or "slave credit") issued against another LC (also known as the "primary credit" or "master credit") of higher value where the applicant of the secondary credit and the beneficiary of the primary credit are the same person and where the settlement of the secondary credit is obtained by presenting documents received under the secondary credit with substituted invoices or other documents to honour or negotiate the master credit.
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Back-to-Back LC means an LC (also known as the "secondary credit" or "slave credit") issued against another LC (also known as the "primary credit" or "master credit") of higher value where the applicant of the secondary credit and the beneficiary of the primary credit are the same person and (as the case may be) where the settlement of the secondary credit is obtained by presenting documents received under the secondary credit with substituted invoices or other documents to honour or negotiate the master credit.
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Examples of Back-to-Back LC in a sentence

  • After the Closing, the provisions of Section 5.12(d) shall govern the rights and obligations of the parties with respect to any Back-to-Back LC issued pursuant to this Section 5.12(c)(i).

  • Any other proceeds received by Seller from draws on any Back-to-Back LC shall be held and invested by Seller (all such proceeds, together with the earnings thereon, are herein called the “Unapplied Proceeds”) as security for the obligations of Seller under and in respect of the corresponding LN LC.

  • If Purchaser should successfully obtain the return of any Unreturned LC to Seller or should any Unreturned LC otherwise be returned to Seller or expire without being drawn and with no obligation to replace, then Seller shall be required to return the corresponding Back-to-Back LC previously issued to Seller pursuant to Section 5.12(c)(i) (and any Unapplied Proceeds attributable to previous draws on such Unreturned LC) simultaneously with the return of such Unreturned LC to Seller.

  • GECC’s receipt of the Back-to-Back LC shall be deemed to satisfy the requirement under Section 2.8 of the Credit Agreement to cash collateralize the Letters of Credit.

  • For all purposes hereof, Royal Bank of Canada, Toronto Dominion Bank, ▇▇ ▇▇▇▇▇▇ ▇▇▇▇▇ Bank, N.A. and Bank of America, N.A shall be financial institutions acceptable to Seller with respect to any Back-to-Back LC without any further request to or approval from Seller.

  • Any letter of credit accepted by Seller in replacement of a Back-to-Back LC shall thereafter be a Back-to-Back LC for all purposes hereof.

  • For the avoidance of doubt, the Back-to-Back LC shall survive such termination and discharge.

Related to Back-to-Back LC

  • Rollback tax rate means the rate that will produce last year’s maintenance and operation tax levy (adjusted) from this year’s values (adjusted) multiplied by 1.08 plus a rate that will produce this year’s debt service from this year’s values (unadjusted) divided by the anticipated tax collection rate.

  • Accumulated Dividends means, with respect to any share of Preferred Stock, as of any date, the aggregate accumulated and unpaid dividends on such share from the Issue Date until the most recent Dividend Payment Date on or prior to such date. There shall be no Accumulated Dividends with respect to any share of Preferred Stock prior to the first Dividend Payment Date.

  • S&P Collateral Value With respect to any Defaulted Obligation or Long Dated Obligation, the lesser of (i) the S&P Recovery Amount of such Defaulted Obligation or Long Dated Obligation, as applicable, as of the relevant Measurement Date and (ii) the Market Value of such Defaulted Obligation or Long Dated Obligation, as applicable, as of the relevant Measurement Date.

  • Reference Value means the last reported sales price of the Ordinary Shares for any twenty (20) trading days within the thirty (30) trading-day period ending on the third trading day prior to the date on which notice of the redemption is given.

  • default value means a value derived from a typical value by the application of pre-determined factors and that may, in circumstances specified in this Directive, be used in place of an actual value;’;