Debt of Clause Samples
The "Debt of" clause defines the specific obligations or amounts that one party owes to another under the agreement. Typically, it outlines the nature of the debt, the parties involved, and the terms under which the debt must be repaid, such as payment schedules or interest rates. By clearly identifying the existence and terms of the debt, this clause ensures both parties understand their financial responsibilities and helps prevent disputes over what is owed.
Debt of. (i) the Borrower owed to any Subsidiary; and
(ii) any Subsidiary owed to the Borrower or any other Subsidiary;
Debt of a Subsidiary of Borrower (other than a Credit Party) in an aggregate principal amount not to exceed the greater of (i) $50,000,000 and (ii) six percent (6%) of Consolidated Total Assets;
Debt of a Subsidiary of Borrower owed to Borrower or another Subsidiary of Borrower;
Debt of any Person that becomes a Subsidiary of the Borrower after the date hereof in accordance with the terms of Section 5.02(f), which Debt is existing at the time such Person becomes a Subsidiary of the Borrower (other than Debt incurred solely in contemplation of such Person becoming a Subsidiary of the Borrower);
Debt of a Borrower to the other Borrower or a Guarantor, or Debt of a Guarantor to a Borrower or another Guarantor;
Debt of a Subsidiary owing to another Subsidiary (except, in the case of Debt held by a Subsidiary that is not wholly owned, directly or indirectly, by the Borrower, the portion of such Debt allocable, on a pro rata basis, to the minority interest);
Debt of the Borrower under any Swap Agreement relating to the Debt incurred under this Agreement; provided that the notional amount of all such agreements at any time shall not exceed the aggregate amount of the Commitments at such time;
Debt of a Person who becomes a Subsidiary of Borrower pursuant to a transaction permitted by this Agreement occurring after the Closing Date, which Debt was outstanding prior to the date on which such Subsidiary was acquired (other than Debt incurred as a result of, or in anticipation of, such transaction);
Debt of a Borrower owed to the other Borrower or to a Guarantor, or Debt of a Guarantor owed to a Borrower or to another Guarantor, or Debt of a Foreign Subsidiary owed to another Foreign Subsidiary or (ii) Debt of a Foreign Subsidiary owed to a Borrower or to a Guarantor and incurred in the ordinary course of business to finance operating expenditures of such Foreign Subsidiary and evidenced by a note (which may be a grid note) constituting Collateral under any Collateral Document;
Debt of a Subsidiary of the Borrower owed to the Borrower or another Subsidiary of the Borrower provided that such Debt is subordinated to the Obligations on terms satisfactory to the Administrative Agent in its sole discretion;