Examples of Defaulted Security in a sentence
The decision was made to effectively accept defective work, which is allowable under the contract, and reduce payment to ICS.Mr. Boersma stated due to the pressure to keep the project moving forward, the contract did not have the normal one-year correction period, and a decision was made to reduce ICS’s contract by $219,127.25.
The Trustee will promptly notify the Issuer if the Collateral Advisor has determined that (i) any Collateral Debt Security has become a Defaulted Security, a Deferred Interest XXX Xxxx, a Credit Risk Security or a Written Down Security or (ii) the Trustee has received an Equity Security in connection with any Collateral Debt Security.
Notwithstanding the foregoing definition, the Collateral Manager may declare any Collateral Debt Security to be a Defaulted Security.
If any Collateral Debt Security becomes a Defaulted Security or Credit Risk Security, the Trustee may sell such Collateral Debt Security at the direction of the Collateral Manager.
If any Collateral Debt Security becomes a Defaulted Security and is liquidated in accordance with the terms of the related underlying documents, it is unlikely that the Issuer will receive the full amount of principal and interest accrued on such Collateral Debt Security and, consequently, the resulting shortfall would adversely affect the ability of the Issuer to pay the unpaid principal of, and interest on, the Notes.