Common use of Failure of Certain Borrowing Base Assets Representations and Warranties Clause in Contracts

Failure of Certain Borrowing Base Assets Representations and Warranties. If at any time the Borrowers shall become aware that any Borrowing Base Asset has ceased to be an Eligible Unencumbered Property or that any representation or warranty set forth on Exhibit J hereto is no longer true and correct with respect to any Borrowing Base Asset, the Borrower Representative shall promptly notify the Agent in writing of such event, together with a detailed description of the factual circumstances giving rise thereto. In such event, the Agent shall promptly provide a copy of such notice to the Lenders and may, and at the direction of the Requisite Lenders shall, require that such Borrowing Base Asset no longer be considered a Borrowing Base Asset. Upon the determination that a Property shall no longer be considered a Borrowing Base Asset, the provisions of Section 2.7(b) shall apply.