Common use of Deferral of Payment Clause in Contracts

Deferral of Payment. The Borrower shall be permitted to defer payment of any indemnification amount, other than indemnity-related fees and expenses (which shall be reimbursed by the Borrower on a current basis as provided below), until the earlier of (i) the date that is 12 months following the Closing Date and (ii) the date on which the Borrower becomes subject to any bankruptcy, insolvency, liquidation or similar proceeding. Interest will accrue on all payment amounts deferred pursuant to this Section 8.6 at a rate of 10% per annum, which amount shall be payable along with the indemnification amount upon termination of the deferral period. To the extent permitted under Section 8.5, the Borrower shall reimburse a Lender for all indemnity-related fees and expenses (including but not limited to legal fees) within five Business Days of such Lender's request for reimbursement.