Common use of Effectiveness of Transaction Documents Clause in Contracts

Effectiveness of Transaction Documents. (a) It is or becomes unlawful for any Obligor to perform any of its obligations under the Finance Documents. (b) It is or becomes unlawful for any Obligor to perform any of its material obligations under the Transaction Documents (other than a Finance Document). (c) Any Transaction Document is not effective or terminated in accordance with its terms (except for any termination pursuant to a Permitted Transaction provided that immediately following that Permitted Transaction an equivalent Transaction Document is entered into in form and substance satisfactory to the Facility Agent and on terms which are substantially the same as the terms of the relevant Transaction Document prior to the Permitted Transaction) or following the expiry of any prescribed term of that Transaction Document or is alleged by an Obligor to be ineffective in accordance with its terms for any reason. (d) A Security Document does not create a Security Interest it purports to create. (e) An Obligor repudiates or revokes a Transaction Document or evidences an intention to repudiate or revoke a Transaction Document to which it is a party.