Common use of Avoided Payments Clause in Contracts

Avoided Payments. Without limiting any other provision of this Agreement, Senior Indebtedness shall not be deemed to have been paid for purposes of this Agreement if any payment in respect thereof (i) shall have been avoided or recovered by the payor or its trustee or other representative or successor in accordance with the order of any court of competent jurisdiction in any insolvency, bankruptcy, dissolution, liquidation or reorganization of the payor, or as required upon or as a result of the appointment of a custodian, receiver, trustee or other officer with respect to the payor or any substantial part of its property or otherwise, or (ii) is the subject of a pending or threatened proceeding in which such avoidance or recovery is (or would be) sought. For purposes of this Section 13, a payment in respect of Senior Indebtedness shall be deemed to be the subject of a "threatened proceeding" only if the payor or a trustee for or other authorized representative of the payor or its estate has expressly informed the Senior Noteholders that such payment will be sought to be avoided or recovered in whole or in part.

Avoided Payments. Without limiting any other provision of this Agreement, Senior Indebtedness shall not be deemed to have been paid for purposes of this Agreement if any payment in respect thereof (i) shall have been avoided or recovered by the payor or its trustee or other representative or successor in accordance with the order of any court of competent jurisdiction in any insolvency, bankruptcy, dissolution, liquidation or reorganization of the payor, or as required upon or as a result of the appointment of a custodian, receiver, trustee or other officer with respect to the payor or any substantial part of its property or otherwise, or (ii) is the subject of a pending or threatened proceeding in which such avoidance or recovery is (or would be) sought. For purposes of this Section 13, a payment in respect of Senior Indebtedness shall be deemed to be the subject of a "threatened proceeding" only if the payor or a trustee for or other authorized representative of the payor or its estate has expressly informed the Senior Noteholders that such payment will be sought to be avoided or recovered in whole or in partrecovered.