Common use of Change in Advance Rate Clause in Contracts

Change in Advance Rate. The Advance Rate previously assigned by the Agent to any Eligible Collateral Obligation shall not change, except for the following events: (a) If no Evaluation Event occurs with respect to an Eligible Collateral Obligation, the Advance Rate for such Eligible Collateral Obligation shall be the Advance Rate assigned to such Eligible Collateral Obligation as of the related Cut-Off Date. (b) If an Evaluation Event occurs with respect to a Middle Market Loan, the Agent shall have the right to adjust the Advance Rate for such Eligible Collateral Obligation to equal the Revised MML Advance Rate; provided that, after giving effect to any such adjustment, the Advance Rate shall not exceed the Advance Rate applicable to such Eligible Collateral Obligation immediately prior to such Evaluation Event. (c) If the event giving rise to an Evaluation Event has been cured or otherwise no longer exists, then the Advance Rate shall be equal to the value prior to the occurrence of such Evaluation Event.