Common use of Inability to Determine LIBOR Rate Clause in Contracts

Inability to Determine LIBOR Rate. In the event that, prior to the commencement of any Interest Period relating to any LIBOR Rate Advance, the Agent shall determine that adequate and reasonable methods do not exist for ascertaining the LIBOR Rate for such Interest Period, the Agent shall forthwith give notice of such determination (which shall be conclusive and binding on the Borrower and the Banks) to the Borrower and the Banks. In such event (a) any Draw Request with respect to LIBOR Rate Advances shall be automatically withdrawn and shall be deemed a Draw Request for Base Rate Advances and (b) each LIBOR Rate Advance will automatically, on the last day of the then current Interest Period thereof, become a Base Rate Advance, and the obligations of the Banks to make LIBOR Rate Advances shall be suspended until the Agent determines in the exercise of its good faith business judgment that the circumstances giving rise to such suspension no longer exist, whereupon the Agent shall so notify the Borrower and the Banks.