Debt Limits Clause Samples

The Debt Limits clause sets a maximum threshold on the amount of debt a party may incur under an agreement. Typically, it specifies a fixed dollar amount or a formula based on financial metrics, and may require the party to seek consent before exceeding this limit. This clause helps manage financial risk by preventing excessive borrowing, thereby protecting the interests of lenders or counterparties and ensuring the party remains financially stable.
Debt Limits. Except for trade debt incurred in the normal course of business and indebtedness to Lender contemplated by this Agreement, any supplemental financing contemplated under Section 2.20,Borrower agrees not to incur or assume indebtedness for borrowed money, including capital leases and further agrees not to sell, transfer, mortgage, assign, pledge, lease, grant a security interest in, or encumber the Property or any of Borrower’ assets. Until the Loan and all interest accrued on it has been satisfied in full as required under the terms of the Note without the prior written consent of Lender, Borrower agrees not to create or incur or suffer to be created or incurred, or to exist, any lien or encumbrance upon the Property.
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Debt Limits. The Borrower will not permit any Restricted Subsidiary to create, assume, incur or otherwise become liable with respect to (collectively, "incur") any Debt, other than: a) Debt secured by a mortgage, pledge or lien which is permitted to such Restricted Subsidiary under the provisions of Section 6.01, b) Debt owed to the Borrower or any other Restricted Subsidiary, c) Debt of a Person existing at the time it becomes a Restricted Subsidiary (unless such Person becomes a Restricted Subsidiary by virtue of (A) the classification or successive classification of such Person as a Restricted Subsidiary by the Board of Directors of Borrower or (B) the transfer of a Principal Plant to such Person by the Borrower or a Restricted Subsidiary), which Debt was not incurred in connection with or contemplation of becoming a Restricted Subsidiary, d) Debt created in connection with, or with a view to, compliance by such Restricted Subsidiary with the requirements of any program, law, statute or regulation of any federal, state or local governmental authority, which is applicable to such Restricted Subsidiary and which provides material financial or tax benefits to such Restricted Subsidiary which are not available to the Borrower or are available to the Borrower only on terms which the Borrower's Board of Directors determines are not as favorable as those available to the Restricted Subsidiary, e) guarantees existing at the Effective Date of this Agreement, f) guarantees and co-obligations of Debt with respect to which the Borrower is directly liable, and g) extensions, renewals or replacements of any Debt referred to in clauses (i) to (vi), inclusive, above, and any subsequent refinancings of such Debt, provided that the amount of Debt secured by such extension, renewal, replacement or subsequent refinancing shall not exceed the principal amount of Debt being extended, renewed, replaced or subsequently refinanced.
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Debt Limits. (Section 6.01): Purchase Money Debt Limit- $0 Subordinated Debt Limit- $0 Unsecured Debt Limit- $0
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Debt Limits. (Section 6.01):
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Related to Debt Limits

  • Investment Limits In the performance of its duties and obligations under this Agreement, Subadviser shall act in conformity with applicable limits and requirements, as amended from time to time, as set forth in the (A) Fund's Prospectus and Statement of Additional Information ("SAI"); (B) instructions and directions of AEFC and of the Board; (C) requirements of the 1940 Act, the Internal Revenue Code of 1986, as amended, as applicable to the Fund, and all other applicable federal and state laws and regulations; and (D) the procedures and standards set forth in, or established in accordance with, the Advisory Agreement.

  • Security and Financial Indebtedness (a) No Security or Quasi-Security exists over all or any of the present or future assets of any member of the Group other than as permitted by this Agreement. (b) No member of the Group has any Financial Indebtedness outstanding other than as permitted by this Agreement.

  • Indebtedness Cross-Default (i) The Borrower, any other Obligor, or any of their respective Subsidiaries shall fail to pay when due and payable, the principal of, or interest on, any Indebtedness or obligations under Derivative Contracts (other than (A) the Obligations and (B) Nonrecourse Indebtedness) having an aggregate outstanding principal amount (or, in the case of any Derivatives Contract, the marked to market value of such Derivative Contract if the Borrower is out of the money) greater than or equal to $50,000,000 (all such Indebtedness or obligations under Derivative Contracts being “Material Indebtedness”); or (ii) (x) The maturity of any Material Indebtedness shall have been accelerated in accordance with the provisions of any indenture, contract or instrument evidencing, providing for the creation of or otherwise concerning such Material Indebtedness or (y) any Material Indebtedness shall have been required to be prepaid, redeemed, defeased or repurchased prior to the stated maturity thereof (which for the purposes hereof shall include any termination event or other event resulting in the settling of payments due under a Derivative Contract); or (iii) Any other event shall have occurred and be continuing which would permit any holder or holders of Material Indebtedness, any trustee or agent acting on behalf of such holder or holders or any other Person, to accelerate the maturity of any such Material Indebtedness or require any such Material Indebtedness to be prepaid or repurchased prior to its stated maturity (which for the purposes hereof shall include any termination event or other event resulting in the settling of payments due under a Derivative Contract).

  • Debt Due (a) If the LHIN requires the re-payment by the HSP of any Funding, the amount required will be deemed to be a debt owing to the Crown by the HSP. The LHIN may adjust future funding instalments to recover the amounts owed or may, at its discretion direct the HSP to pay the amount owing to the Crown and the HSP shall comply immediately with any such direction. (b) All amounts repayable to the Crown will be paid by cheque payable to the “Ontario Minister of Finance” and mailed or delivered to the LHIN at the address provided in section 13.1.

  • Existing Indebtedness; Future Liens (a) Except as described therein, Schedule 5.15 sets forth a complete and correct list of all outstanding Indebtedness of the Parent Guarantor and its Significant Subsidiaries as of March 31, 2018 (including descriptions of the obligors and obligees, principal amounts outstanding, any collateral therefor and any Guarantees thereof, but excluding any intercompany Indebtedness), since which date there has been no Material change in the amounts, interest rates, sinking funds, installment payments or maturities of the Indebtedness of the Parent Guarantor or its Significant Subsidiaries. No Obligor nor any Significant Subsidiary is in default and no waiver of default is currently in effect, in the payment of any principal or interest on any Indebtedness of such Obligor or such Significant Subsidiary and no event or condition exists with respect to any Indebtedness of any Obligor or any Significant Subsidiary that would permit (or that with notice or the lapse of time, or both, would permit) one or more Persons to cause such Indebtedness to become due and payable before its stated maturity or before its regularly scheduled dates of payment. (b) Except as disclosed in Schedule 5.15, no Obligor nor any Significant Subsidiary has agreed or consented to cause or permit any of its property, whether now owned or hereafter acquired, to be subject to a Lien that secures Indebtedness or to cause or permit in the future (upon the happening of a contingency or otherwise) any of its property, whether now owned or hereafter acquired, to be subject to a Lien not permitted by Section 10.5. (c) No Obligor nor any Significant Subsidiary is a party to, or otherwise subject to any provision contained in, any instrument evidencing Indebtedness of such Obligor or such Significant Subsidiary, any agreement relating thereto or any other agreement (including its charter or any other organizational document) which limits the amount of, or otherwise imposes restrictions on the incurring of, Indebtedness of such Obligor, except as disclosed in Schedule 5.15.