Current Accounts. The Borrower will establish a current account with the Lender in Dollars and, as required, US Dollars (each a “Current Account”) for the conduct of the Borrower’s day to day banking business. If an Event of Default exists, the Lender may apply any credit balance in a Current Account, against any Credit Obligation. Any cheque or payment instruction or debit authorization from the Borrower and resulting in an Overdraft in any Current Account will be deemed to be a request for such a Borrowing (up to the Overdraft limit specified in Section 2.4(a)(i)). If, at the end of any Business Day, there is a credit balance in any such Current Account relating to the Revolving Facility, the Lender may apply such credit balance to Prime Rate Loans or US Base Rate Loans outstanding under the Revolving Facility or, if an Event of Default exists, against any Credit Obligation.
Appears in 2 contracts
Sources: Credit Agreement, Credit Agreement (DAVIDsTEA Inc.)