Common use of Adjustment of Percentage Interests Clause in Contracts

Adjustment of Percentage Interests. If the Percentage Interest of an Electing Partner is to be adjusted pursuant to the Adjustment Right under Section 3.5(b), then the Percentage Interest and Capital Account balance of such Electing Partner shall be adjusted and Sections 3.1 and 3.2 shall be amended in order to reflect an increase in such Partner’s Percentage Interest by a percentage equal to (i) one hundred percent (100%) of the unpaid principal amount of, and accrued and unpaid interest on, the applicable Contribution Loan divided by (ii) the total Capital Contributions made by all Partners through the Election Date, and the Percentage Interest of the Non-Contributing Partner shall be reduced by the increase in the Percentage Interest of the Electing Partner(s) such that the aggregate Percentage Interests of all Partners continues to equal 100%.