Common use of Designation Criteria Clause in Contracts

Designation Criteria. (i) No Subsidiary shall at any time after the Closing Date be designated as a Restricted Subsidiary unless: (A) such Subsidiary at such time meets all of the requirements of being a Restricted Subsidiary as set forth in the definition thereof (other than clause (a) of such definition); (B) immediately before and after, and after giving effect to such designation, no Default or Event of Default exists or would exist; and (C) such Subsidiary shall not previously have been designated as a Restricted Subsidiary on more than one (1) other occasion. (ii) No Restricted Subsidiary shall at any time after the Closing Date be designated as an Unrestricted Subsidiary unless: (A) immediately after, and after giving effect to such designation, no Default or Event of Default exists or would exist; and (B) immediately prior to such designation, such Restricted Subsidiary being so designated does not own, directly or indirectly, any Capital Stock of any Restricted Subsidiary not being simultaneously designated as an Unrestricted Subsidiary.