Borrower’s Covenants Clause Examples

Borrower’s Covenants a. The Borrower/s agree and undertake to utilize the entire amount of the Loan, only for the End Use and shall not use the Loan amount for any speculative or illegal purposes. b. The Borrower/s shall notify, in writing, to the Lender, of any change in the residence, contact numbers, employment, business or profession within 7 (Seven) days from the date of such change. c. In case the Borrower/s commit a default in payment or repayment of the Principal Amount and the Interest thereon, the Lender, the National Housing Bank (“NHB”), the Reserve Bank of India (“RBI”) and / or any agency, statutory body, etc., so appointed by the NHB or RBI, will have an absolute right to disclose or publish the details of the default and the name of the Borrower/s as defaulters, in such manner and through such medium, as the Lender or the NHB or the RBI, in their absolute discretion, may think fit. d. All the necessary Consents and approvals for availing the Loan shall be obtained and maintained by the Borrower/s and they shall at all times be in compliance with such Consents and approvals. e. The Borrower/s shall not violate any covenant, conditions or stipulations under any existing agreement(s) entered into by them, by availing the Loan from the Lender, in a form and manner required by the Lender. f. The Borrower/s shall inform the Lender of the happening of any Event of Default or any event which after the notice or lapse of time or both would become an Event of Default forthwith without any delay and demur. g. The Borrower/s shall execute, forthwith and without any delay, demur or protest, all such documents, including this Agreement and other Transaction Documents, as may be prescribed by the Lender from time to time, for giving effect to the terms of this Agreement, including without limitation bank statements, salary slips, income tax returns, and such other documents.

Borrower’s Covenants. The Borrower covenants as follows:

Borrower’s Covenants. Borrower covenants and agrees with Governmental Lender and Bank that until the full and final payment of all sums owed under the Borrower Loan Documents and the Funding Loan Documents, unless Bank waives compliance in writing:

Borrower’s Covenants. Unless Borrower shall have obtained the prior written consent of Lendxx, Xxrrower covenants and agrees that until all amounts, including principal, interest and other amounts due under this Note, are paid in full: (a) Borrower will at all times preserve and keep in full force and effect its existence as a corporation. (b) Borrower will not create or suffer to exist any liens upon or with respect to any of its properties, whether now owned or hereinafter acquired, other than such liens as will not have a material adverse effect on the business, operations, properties, assets or condition (financial or otherwise) of the Borrower. (c) Borrower will not create or suffer to exist any debt other than the debt evidenced by this Note that is payable before repayment of this Note. (d) Borrower will promptly and fully comply with all laws, regulations and orders, the noncompliance with which would have a material adverse impact on Borrower's financial condition, business or property. (e) Borrower will file all tax returns required by law to be filed and will pay all taxes and similar government impositions being contested by Borrower in good faith by appropriate means and with an adequate reserve maintained for payment in the event of an adverse outcome. (f) Borrower will provide to Lender such information as may be required to keep Lendxx xxxrently and completely informed as to all material matters involving the business, financial condition and property of Borrower, including pending and threatened litigation and other governmental proceedings. (g) Borrower will promptly and in no case later than two (2) business days after Borrower has knowledge of the occurrence of an Event of Default (as defined in Section 13 hereof) or an event, act or condition that, with notice or lapse of time or both, would constitute an Event of Default, provide Lender with a certificate of the chief executive officer of Borrower specifying the nature thereof and Borrxxxx'x xroposed response thereto. (h) Borrower will promptly notify Lender in writing of any loss, damage, investigation, action, suit, proceeding or claim relating to a material portion of the assets and properties of Borrower that may result in any material adverse change in Borrower's business, operations, properties, assets or condition (financial or otherwise). (i) Borrower will keep its books of accounting in accordance with generally accepted accounting principles, consistently applied, and furnish to Lender: (i) All s...

Borrower’s Covenants. 3.1 As and when he becomes, and for so long as he remains a shareholder of Borrower Company, Borrower covenants irrevocably that during the term of this Agreement, Borrower shall cause Borrower Company: 3.1.1 to strictly abide by the provisions of the Exclusive Option Agreement and the Exclusive Business Cooperation Agreement (“Exclusive Business Cooperation Agreement”) to which the Borrower Company is a party, and to refrain from any action/omission that may affect the effectiveness and enforceability of the Exclusive Option Agreement and Exclusive Business Cooperation Agreement. 3.1.2 at the request of Lender (or a party designated by Lender), to execute contracts/agreements on business cooperation with Lender (or a party designated by Lender), and to strictly abide by such contracts/agreements; 3.1.3 to provide Lender with all of the information on Borrower Company’s business operations and financial condition at Lender’s request; 3.1.4 to immediately notify Lender of the occurrence or possible occurrence of any litigation, arbitration or administrative proceedings relating to Borrower Company’s assets, business or income; 3.1.5 at the request of Lender, to appoint any persons designated by Lender as directors of Borrower Company; 3.2 Borrower covenants that during the term of this Agreement, he shall: 3.2.1 endeavor to keep Borrower Company to engage in its principle businesses; 3.2.2 abide by the provisions of this Agreement, the Power of Attorney, the Equity Interest Pledge Agreement (“Equity Interest Pledge Agreement”) and the Exclusive Option Agreement to which the Borrower is a party, perform his obligations under this Agreement, the Power of Attorney, the Equity Interest Pledge Agreement and the Exclusive Option Agreement, and refrain from any action/omission that may affect the effectiveness and enforceability of this Agreement, the Power of Attorney, the Equity Interest Pledge Agreement and the Exclusive Option Agreement; 3.2.3 not sell, transfer, mortgage or dispose of in any other manner the legal or beneficial interest in Borrower Equity Interest, or allow the encumbrance thereon of any security interest or the encumbrance, except in accordance with the Equity Interest Pledge Agreement; 3.2.4 cause any shareholders’ meeting and/or the board of directors of Borrower Company not to approve the sale, transfer, mortgage or disposition in any other manner of any legal or beneficial interest in Borrower Equity Interest, or allow the encumbrance th...

Borrower’s Covenants. The Borrower agrees with the Bank that, from the date of this Agreement and until the Loans are paid in full and all obligations under this Agreement and the other Loan Documents are fully performed and this Agreement has been terminated:

Borrower’s Covenants. Borrower does hereby covenant and agree with Bank that, so long as any of the Obligations remain unsatisfied or any commitments hereunder remain outstanding, Borrower at all times will comply or cause to be complied with the following covenants:

Borrower’s Covenants. The Borrower covenants and agrees, on behalf of itself and the Borrower’s Subsidiaries, that, until full performance, satisfaction and payment in full in cash of all obligations due under this Note, the Borrower and the Borrower’s Subsidiaries shall not: (i) Create, incur or assume any additional debt or undertake any lease, loan, obligation or financial commitment, except borrowings in the ordinary course of business under the Borrower’s Preexisting Credit Facilities in compliance with the terms and conditions of said credit facilities; (ii) Create, incur, grant or permit to exist any additional liens on assets except those previously granted under the Preexisting Credit Facilities; (iii) Declare, pay or make any dividend or distribution or return on capital on any membership interests/shares, or apply any funds, property or assets to the acquisition or redemption of any membership interests/shares, except to use the proceeds of the Note to redeem all membership interests/shares owned by Liberty and except to declare and pay distributions necessary to satisfy federal, state and local income tax liabilities relating to the Xxxx Parties’ ownership/membership interests and aggregate quarterly distributions to the Xxxx Parties collectively of up to 40% of the Net Earnings of the Borrower, all of which distributions shall be subject to the terms of the Preexisting Credit Facilities and the Borrower maintaining a positive working capital (current assets in excess of current liabilities) of at least $2,000,000 for so long as any amount remains due and owing under this Note. Net Earnings as used herein shall mean the Borrower’s pretax net income less the income tax liabilities of the owners relating to the Xxxx Parties’ ownership and membership interests; (iv) Pay any cash bonuses or make or commit to make any pension, profit sharing or equity earn-out program payments or contributions; (v) Make any capital expenditures out of the ordinary course of business or in excess of $300,000 in the aggregate, subject to the Borrower maintaining a positive working capital of at least $2,000,000 as described in (iii) above; (vi) Purchase, sell or transfer any assets except in the ordinary course of business and except for the following assets, which Lender acknowledges are being transferred from the Borrower to the Xxxx Parties and others in connection with the redemption of Liberty’s ownership/membership interest: (1) the real estate currently owned by the Borrower at 0000...

Borrower’s Covenants. Borrower makes the following agreements and covenants, which shall continue so long as this Loan Agreement is in effect and so long as Borrower is indebted to Lender for obligations arising out of, identified in, or contemplated by this Loan Agreement.